Sen. Susan Garrett

Filed: 5/31/2011

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 1883

2    AMENDMENT NO. ______. Amend House Bill 1883 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Property Tax Code is amended by changing
5Section 10-380 and by adding Sections 9-275 and 16-181 as
6follows:
 
7    (35 ILCS 200/9-275 new)
8    Sec. 9-275. Erroneous homestead exemptions.
9    (a) If, upon determination by the chief county assessment
10officer, any person or entity that was not eligible to receive
11a homestead exemption under Article 15 of this Code was granted
12one homestead exemption in error for real property in any year
13or years not to exceed the 3 assessment years prior to the
14assessment year in which the determination is made, then the
15chief county assessment officer may cause to be served on the
16person to whom the most recent tax bill was mailed a notice of

 

 

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1intent to record a tax lien against the property with respect
2to which the erroneous homestead exemption was granted.
3    (b) If, upon determination by the chief county assessment
4officer, any person or entity that was not eligible to receive
5a homestead exemption under Article 15 of this Code was granted
62 homestead exemptions in error for real property in any year
7or years not to exceed the 3 assessment years prior to the
8assessment year in which the determination is made, then the
9chief county assessment officer may cause to be served on the
10person to whom the most recent tax bill was mailed a notice of
11intent to record a tax lien against the property with respect
12to which the erroneous homestead exemption was granted.
13    (c) If, upon determination by the chief county assessment
14officer, any person or entity that was not eligible to receive
15a homestead exemption under Article 15 of this Code was granted
163 or more homestead exemptions in error for real property in
17any year or years not to exceed the 6 assessment years prior to
18the assessment year in which the determination is made, then
19the chief county assessment officer may cause to be served on
20the person to whom the most recent tax bill was mailed a notice
21of intent to record a tax lien against the property with
22respect to which the erroneous homestead exemption was granted.
23    (d) The notice of intent to record a tax lien described in
24subsections (a), (b), and (c) of this Section shall identify
25the property against which the lien is being sought and shall
26identify the assessment years in which the erroneous homestead

 

 

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1exemption was granted.
2    In counties with 3,000,000 or more inhabitants, the notice
3must also include a form that the property owner may return to
4the chief county assessment officer to request a hearing. The
5property owner may request a hearing by returning the form
6within 30 days after service. The hearing shall be held within
790 days after the property owner is served. The chief county
8assessment officer shall promulgate rules of service and
9procedure for the hearing. The chief county assessment officer
10must generally follow rules of evidence and practices that
11prevail in the county circuit courts, but, because of the
12nature of these proceedings, the chief county assessment
13officer is not bound by those rules in all particulars. The
14chief county assessment officer shall appoint a hearing officer
15to oversee the hearing. The property owner shall be allowed to
16present evidence to the hearing officer at the hearing. After
17taking into consideration all the relevant testimony and
18evidence, the hearing officer shall make an administrative
19decision on whether the property owner was erroneously granted
20a homestead exemption for the assessment year or years in
21question. The property owner may appeal the hearing officer's
22ruling to the circuit court of the county where the property is
23located under the Administrative Review Law.
24    In counties with less than 3,000,000 million inhabitants,
25the notice must also include a form that the property owner may
26return to the board of review to request a hearing. The

 

 

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1property owner may request a hearing by returning the form
2within 30 days after service. The hearing shall be held within
390 days after the property owner is served. The board of review
4shall follow its normal practices and procedures in conducting
5the hearing. The property owner shall be allowed to present
6evidence to board of review. After taking into consideration
7all of the relevant testimony and evidence, the board of review
8shall issue a decision on whether the property owner was
9erroneously granted a homestead exemption for the assessment
10year or years in question. The property owner may appeal the
11board of review's ruling to the circuit court of the county
12where the property is located under the Administrative Review
13Law.
14    (e) A lien imposed under this Section shall be filed with
15the county clerk and the county recorder of deeds, but may not
16be filed sooner than 45 days after the notice was delivered to
17the property owner if the property owner does not request a
18hearing, or, until the conclusion of the hearing and all
19appeals if the property owner does request a hearing.
20        (1) When a lien is filed pursuant to subsection (a) of
21    this Section, the arrearages of taxes that might have been
22    assessed, plus 5% interest per annum, shall be charged
23    against the property by the county clerk.
24        (2) When a lien is filed pursuant to subsection (b) of
25    this Section, the arrearages of taxes that might have been
26    assessed, plus a penalty of 25% of the total amount of

 

 

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1    unpaid taxes for each year and 10% interest per annum,
2    shall be charged against the property by the county clerk.
3        (3) When a lien is filed pursuant to subsection (c) of
4    this Section, the arrearages of taxes that might have been
5    assessed, plus a penalty of 40% of the total amount of
6    unpaid taxes for each year and 15% interest per annum,
7    shall be charged against the property by the county clerk.
8    (f) If the erroneous homestead exemption was granted as a
9result of a clerical error or omission on the part of the chief
10county assessment officer, and if the owner has paid its tax
11bills as received for the year or years in which the error
12occurred, then the interest and penalties authorized by this
13Section shall not be chargeable to the owner. However, nothing
14in this Section shall prevent the collection of the principal
15amount of back taxes due and owing.
16    (g) If, at the hearing, the property owner establishes that
17it is a bona fide purchaser of the property for value, and
18without notice of the erroneous homestead exemption, the
19property owner shall not be liable for any unpaid back taxes,
20interest, or penalties for the period of time prior to the date
21that the property owner purchased the property. A certified
22title to the property that is issued by the county clerk or
23county recorder of deeds and is free and clear of any liens
24imposed under subsections (a), (b), or (c) of this Section,
25shall be prima facie evidence that the property owner is
26without notice of the erroneous homestead exemption.

 

 

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1    (h) When a lien is filed pursuant to subsection (e) of this
2Section, the chief county assessment officer shall mail a copy
3of the lien to the person to whom the most recent tax bill was
4mailed and the outstanding liability created by such a lien is
5due and payable within 30 days after the mailing of the lien by
6the chief county assessment officer. This liability is deemed
7delinquent and shall bear interest beginning on the day after
8the due date. Any such liability deemed delinquent after that
9due date shall bear interest at the rate of 1.5% per month or
10portion thereof until paid.
11    (i) The unpaid taxes shall be paid to the appropriate
12taxing districts. Interest shall be paid to the county where
13the property is located. The penalty shall be paid to the chief
14county assessment officer's office for the administration of
15the provisions of this amendatory Act of the 97th General
16Assembly.
17    (j) For purposes of this Section, "homestead exemption"
18means an exemption under Section 15-165 (disabled veterans),
1915-167 (returning veterans), 15-169 (disabled veterans
20standard homestead), 15-170 (senior citizens), 15-172 (senior
21citizens assessment freeze), 15-175 (general homestead),
2215-176 (alternative general homestead), or 15-177 (long-time
23occupant).
 
24    (35 ILCS 200/10-380)
25    Sec. 10-380. For the taxable years 2006 and thereafter ,

 

 

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12007, 2008, and 2009, the chief county assessment officer in
2the county in which property subject to a PPV Lease is located
3shall apply the provisions of 10-370(b)(i) and 10-375(c)(i) of
4this Division 14 in assessing and determining the value of any
5PPV Lease for purposes of the property tax laws of this State.
6(Source: P.A. 94-974, eff. 6-30-06.)
 
7    (35 ILCS 200/16-181 new)
8    Sec. 16-181. Stipulation to revised assessment. The board
9of review whose decision is being appealed may, at its
10discretion, enter into discussions with a taxpayer aimed at
11achieving a stipulated revised assessment upon the property,
12either prior to or after receipt of the taxpayer's petition
13from the Property Tax Appeal Board. If such discussions
14commence prior to the board of review's receipt of the
15taxpayer's petition from the Property Tax Appeal Board, the
16taxpayer shall provide the board of review with such evidence
17of the taxpayer's timely filing of its appeal before the
18Property Tax Appeal Board as the board of review may request,
19including but not limited to a copy of the taxpayer's petition
20as filed with the Property Tax Appeal Board. If, after
21discussions have been entered into, the taxpayer and the board
22of review propose to stipulate to a revised assessment of the
23property, and if the original complaint requested a reduction
24in assessed value of more than $100,000, then the board of
25review shall first serve a copy of the proposed stipulation or

 

 

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1assessment agreement on all taxing districts as shown on the
2last available property tax bill, along with a copy of the
3taxpayer's petition as provided to the board of review and all
4other evidence used to reach the settlement. The taxing
5districts so served shall have a period of 45 days after the
6postmark date of the notice from the board of review to file a
7written objection to the proposal, stating the reasons for the
8objection, with the board of review. Failure of a taxing
9district to object to the proposed assessment within the 45-day
10objection period shall be considered acceptance of the proposed
11assessment. Upon the later of (i) the expiration of the 45-day
12objection period or (ii) written resolution of any timely filed
13written objection received from a taxing district, the board of
14review shall provide the proposed stipulation or assessment
15agreement to the Property Tax Appeal Board along with a
16certificate of service affirming that all taxing districts have
17been notified of the proposed stipulation or assessment
18agreement, and that no timely written objections to the
19stipulation or assessment agreement have been received or that
20any such objections have been fully resolved. The certificate
21of service shall be signed by a member of the board of review
22or the clerk of the board of review. Within 120 days after the
23Property Tax Appeal Board's receipt of the stipulation or
24assessment agreement and certificate of service, the Property
25Tax Appeal Board shall issue a decision in accordance with the
26stipulation or assessment agreement, unless it finds that the

 

 

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1Property Tax Appeal Board lacks jurisdiction over the appeal or
2that the stipulation or assessment agreement is against the
3manifest weight of the evidence.
4    If the board of review provides notice to the affected
5taxing districts of the proposed stipulation or assessment
6agreement, and a taxing district (i) does not respond to the
7notice, (ii) accepts the proposed assessment, or (iii) reaches
8a written resolution with the board of review and the taxpayer,
9then the board of review is not required to otherwise send
10notice as required by Section 16-180 of the Property Tax Code
11to that taxing district, and that taxing district is precluded
12from intervening or otherwise participating in the appeal
13pending before the Property Tax Appeal Board challenging the
14assessment. If a taxing district files a written objection to
15the proposal to the board of review which is not followed by a
16written resolution, then the appeal shall proceed as provided
17by law, the board of review must notify that taxing district as
18required by Section 16-180, and any proposed stipulation or
19assessment agreement shall not be considered or introduced as
20evidence in any proceeding before the Property Tax Appeal
21Board.
 
22    Section 97. Severability. The provisions of this Act are
23severable under Section 1.31 of the Statute on Statutes.
 
24    Section 99. Effective date. This Act takes effect upon

 

 

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1becoming law.".