94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
SB0079

 

Introduced 1/26/2005, by Sen. William E. Peterson

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/21-15
35 ILCS 200/21-20
35 ILCS 200/21-25
35 ILCS 200/21-30

    Amends the Property Tax Code. Provides that a member of the armed forces of the United States, other than a reserve component, on active duty on the due date of any installment of taxes due under the Property Tax Code shall not be deemed delinquent in the payment of the installment until 90 days after the due date or, if the member is deployed outside the continental United States, 90 days after the member is redeployed to the continental United States. Provides that members of the reserve components of the armed forces of the United States or members of the National Guard who are on active duty shall not be deemed delinquent in the payment of the installment until 90 days (now, 30 days) after the member returns from active duty. Deletes provisions concerning an amnesty period in Cook County for certain National Guard members for taxes on homestead property due and payable in 1991 or 1992. Effective immediately.


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

 

 

A BILL FOR

 

SB0079 LRB094 03384 MKM 33385 b

1     AN ACT concerning revenue.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 5. The Property Tax Code is amended by changing
5 Sections 21-15, 21-20, 21-25, and 21-30 as follows:
 
6     (35 ILCS 200/21-15)
7     Sec. 21-15. General tax due dates; default by mortgage
8 lender. Except as otherwise provided in this Section or Section
9 21-40, all property upon which the first installment of taxes
10 remains unpaid on June 1 annually shall be deemed delinquent
11 and shall bear interest after June 1 at the rate of 1 1/2% per
12 month or portion thereof. Except as otherwise provided in this
13 Section or Section 21-40, all property upon which the second
14 installment of taxes remains due and unpaid on September 1,
15 annually, shall be deemed delinquent and shall bear interest
16 after September 1 at the same interest rate. All interest
17 collected shall be paid into the general fund of the county.
18 Payment received by mail and postmarked on or before the
19 required due date is not delinquent.
20     Property not subject to the interest charge in Section
21 9-260 or Section 9-265 shall also not be subject to the
22 interest charge imposed by this Section until such time as the
23 owner of the property receives actual notice of and is billed
24 for the principal amount of back taxes due and owing.
25     If a member of the armed forces of the United States, other
26 than a reserve component, has an ownership interest in property
27 taxed under this Act and is on active duty on the due date of
28 any installment of taxes due under this Act, he or she shall
29 not be deemed delinquent in the payment of the installment and
30 no interest shall accrue or be charged as a penalty on the
31 installment until 90 days after the due date or, if the member
32 is deployed outside of the continental United States on the due

 

 

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1 date, then 90 days after the member is redeployed to the United
2 States.
3     If a member of a reserve component of the armed forces of
4 the United States or a member of the National Guard who has an
5 ownership interest in property taxed under this Act is called
6 to active duty for deployment outside the continental United
7 States and is on active duty on the due date of any installment
8 of taxes due under this Act, he or she shall not be deemed
9 delinquent in the payment of the installment and no interest
10 shall accrue or be charged as a penalty on the installment
11 until 90 30 days after that member returns from active duty.
12     Notwithstanding any other provision of law, when any unpaid
13 taxes become delinquent under this Section through the fault of
14 the mortgage lender, (i) the interest assessed under this
15 Section for delinquent taxes shall be charged against the
16 mortgage lender and not the mortgagor and (ii) the mortgage
17 lender shall pay the taxes, redeem the property and take all
18 necessary steps to remove any liens accruing against the
19 property because of the delinquency. In the event that more
20 than one entity meets the definition of mortgage lender with
21 respect to any mortgage, the interest shall be assessed against
22 the mortgage lender responsible for servicing the mortgage.
23 Unpaid taxes shall be deemed delinquent through the fault of
24 the mortgage lender only if: (a) the mortgage lender has
25 received all payments due the mortgage lender for the property
26 being taxed under the written terms of the mortgage or
27 promissory note secured by the mortgage, (b) the mortgage
28 lender holds funds in escrow to pay the taxes, and (c) the
29 funds are sufficient to pay the taxes after deducting all
30 amounts reasonably anticipated to become due for all hazard
31 insurance premiums and mortgage insurance premiums and any
32 other assessments to be paid from the escrow under the terms of
33 the mortgage. For purposes of this Section, an amount is
34 reasonably anticipated to become due if it is payable within 12
35 months from the time of determining the sufficiency of funds
36 held in escrow. Unpaid taxes shall not be deemed delinquent

 

 

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1 through the fault of the mortgage lender if the mortgage lender
2 was directed in writing by the mortgagor not to pay the
3 property taxes, or if the failure to pay the taxes when due
4 resulted from inadequate or inaccurate parcel information
5 provided by the mortgagor, a title or abstract company, or by
6 the agency or unit of government assessing the tax.
7 (Source: P.A. 93-560, eff. 8-20-03.)
 
8     (35 ILCS 200/21-20)
9     Sec. 21-20. Due dates; accelerated billing in counties of
10 less than 3,000,000. Except as otherwise provided in Section
11 21-40, in counties with less than 3,000,000 inhabitants in
12 which the accelerated method of billing and paying taxes
13 provided for in Section 21-30 is in effect, the estimated first
14 installment of unpaid taxes shall be deemed delinquent and
15 shall bear interest after a date not later than June 1 annually
16 as provided for in the ordinance or resolution of the county
17 board adopting the accelerated method, at the rate of 1 1/2%
18 per month or portion thereof until paid or forfeited. The
19 second installment of unpaid taxes shall be deemed delinquent
20 and shall bear interest after August 1 annually at the same
21 interest rate until paid or forfeited. Payment received by mail
22 and postmarked on or before the required due date is not
23 delinquent.
24     If a member of the armed forces of the United States, other
25 than a reserve component, has an ownership interest in property
26 taxed under this Act and is on active duty on the due date of
27 any installment of taxes due under this Act, he or she shall
28 not be deemed delinquent in the payment of the installment and
29 no interest shall accrue or be charged as a penalty on the
30 installment until 90 days after the due date or, if the member
31 is deployed outside of the continental United States on the due
32 date, then 90 days after the member is redeployed to the United
33 States.
34     If a member of a reserve component of the armed forces of
35 the United States or a member of the National Guard who has an

 

 

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1 ownership interest in property taxed under this Act is called
2 to active duty for deployment outside the continental United
3 States and is on active duty on the due date of any installment
4 of taxes due under this Act, he or she shall not be deemed
5 delinquent in the payment of the installment and no interest
6 shall accrue or be charged as a penalty on the installment
7 until 90 30 days after that member returns from active duty.
8 (Source: P.A. 91-199, eff. 1-1-00; 91-898, eff. 7-6-00.)
 
9     (35 ILCS 200/21-25)
10     Sec. 21-25. Due dates; accelerated billing in counties of
11 3,000,000 or more. Except as hereinafter provided and as
12 provided in Section 21-40, in counties with 3,000,000 or more
13 inhabitants in which the accelerated method of billing and
14 paying taxes provided for in Section 21-30 is in effect, the
15 estimated first installment of unpaid taxes shall be deemed
16 delinquent and shall bear interest after March 1 at the rate of
17 1 1/2% per month or portion thereof until paid or forfeited.
18 The second installment of unpaid taxes shall be deemed
19 delinquent and shall bear interest after August 1 annually at
20 the same interest rate until paid or forfeited.
21     If the county board elects by ordinance adopted prior to
22 July 1 of a levy year to provide for taxes to be paid in 4
23 installments, each installment for that levy year and each
24 subsequent year shall be deemed delinquent and shall begin to
25 bear interest 30 days after the date specified by the ordinance
26 for mailing bills, at the rate of 1 1/2% per month or portion
27 thereof, until paid or forfeited.
28     Payment received by mail and postmarked on or before the
29 required due date is not delinquent.
30     If a member of the armed forces of the United States, other
31 than a reserve component, has an ownership interest in property
32 taxed under this Act and is on active duty on the due date of
33 any installment of taxes due under this Act, he or she shall
34 not be deemed delinquent in the payment of the installment and
35 no interest shall accrue or be charged as a penalty on the

 

 

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1 installment until 90 days after the due date or, if the member
2 is deployed outside of the continental United States on the due
3 date, then 90 days after the member is redeployed to the United
4 States.
5     Taxes levied on homestead property in which a member of the
6 National Guard or reserves of the armed forces of the United
7 States who was called to active duty on or after August 1,
8 1990, and who has an ownership interest, shall not be deemed
9 delinquent and no interest shall accrue or be charged as a
10 penalty on such taxes due and payable in 1991 or 1992 until one
11 year after that member returns to civilian status.
12     If a member of a reserve component of the armed forces of
13 the United States or a member of the National Guard who has an
14 ownership interest in property taxed under this Act is called
15 to active duty for deployment outside the continental United
16 States and is on active duty on the due date of any installment
17 of taxes due under this Act, he or she shall not be deemed
18 delinquent in the payment of the installment and no interest
19 shall accrue or be charged as a penalty on the installment
20 until 90 30 days after that member returns from active duty to
21 civilian status.
22 (Source: P.A. 91-199, eff. 1-1-00; 91-898, eff. 7-6-00.)
 
23     (35 ILCS 200/21-30)
24     Sec. 21-30. Accelerated billing. Except as provided in this
25 Section, Section 9-260, and Section 21-40, in counties with
26 3,000,000 or more inhabitants, by January 31 annually,
27 estimated tax bills setting out the first installment of
28 property taxes for the preceding year, payable in that year,
29 shall be prepared and mailed. The first installment of taxes on
30 the estimated tax bills shall be computed at 50% of the total
31 of each tax bill for the preceding year. If, prior to the
32 preparation of the estimated tax bills, a certificate of error
33 has been either approved by a court on or before November 30 of
34 the preceding year or certified pursuant to Section 14-15 on or
35 before November 30 of the preceding year, then the first

 

 

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1 installment of taxes on the estimated tax bills shall be
2 computed at 50% of the total taxes for the preceding year as
3 corrected by the certificate of error. By June 30 annually,
4 actual tax bills shall be prepared and mailed. These bills
5 shall set out total taxes due and the amount of estimated taxes
6 billed in the first installment, and shall state the balance of
7 taxes due for that year as represented by the sum derived from
8 subtracting the amount of the first installment from the total
9 taxes due for that year.
10     The county board may provide by ordinance, in counties with
11 3,000,000 or more inhabitants, for taxes to be paid in 4
12 installments. For the levy year for which the ordinance is
13 first effective and each subsequent year, estimated tax bills
14 setting out the first, second, and third installment of taxes
15 for the preceding year, payable in that year, shall be prepared
16 and mailed not later than the date specified by ordinance. Each
17 installment on estimated tax bills shall be computed at 25% of
18 the total of each tax bill for the preceding year. By the date
19 specified in the ordinance, actual tax bills shall be prepared
20 and mailed. These bills shall set out total taxes due and the
21 amount of estimated taxes billed in the first, second, and
22 third installments and shall state the balance of taxes due for
23 that year as represented by the sum derived from subtracting
24 the amount of the estimated installments from the total taxes
25 due for that year.
26     The county board of any county with less than 3,000,000
27 inhabitants may, by ordinance or resolution, adopt an
28 accelerated method of tax billing. The county board may
29 subsequently rescind the ordinance or resolution and revert to
30 the method otherwise provided for in this Code.
31     Taxes levied on homestead property in which a member of the
32 National Guard or reserves of the armed forces of the United
33 States who was called to active duty on or after August 1,
34 1990, and who has an ownership interest shall not be deemed
35 delinquent and no interest shall accrue or be charged as a
36 penalty on such taxes due and payable in 1991 or 1992 until one

 

 

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1 year after that member returns to civilian status.
2 (Source: P.A. 92-475, eff. 8-23-01; 93-560, eff. 8-20-03.)
 
3     Section 99. Effective date. This Act takes effect upon
4 becoming law.