97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5553

 

Introduced 2/15/2012, by Rep. Michael P. McAuliffe

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/15-165
35 ILCS 200/15-169

    Amends the Property Tax Code. Provides that the minimum assessed value for a home qualifying for the disabled veterans property tax exemption is $100,000 (instead of $70,000). Extends the disabled veterans standard homestead exemption to veterans who were killed in the line of duty. 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
5Sections 15-165 and 15-169 as follows:
 
6    (35 ILCS 200/15-165)
7    Sec. 15-165. Disabled veterans. Property up to an assessed
8value of $100,000 $70,000, owned and used exclusively by a
9disabled veteran, or the spouse or unmarried surviving spouse
10of the veteran, as a home, is exempt. As used in this Section,
11a disabled veteran means a person who has served in the Armed
12Forces of the United States and whose disability is of such a
13nature that the Federal Government has authorized payment for
14purchase or construction of Specially Adapted Housing as set
15forth in the United States Code, Title 38, Chapter 21, Section
162101.
17    The exemption applies to housing where Federal funds have
18been used to purchase or construct special adaptations to suit
19the veteran's disability.
20    The exemption also applies to housing that is specially
21adapted to suit the veteran's disability, and purchased
22entirely or in part by the proceeds of a sale, casualty loss
23reimbursement, or other transfer of a home for which the

 

 

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1Federal Government had previously authorized payment for
2purchase or construction as Specially Adapted Housing.
3    However, the entire proceeds of the sale, casualty loss
4reimbursement, or other transfer of that housing shall be
5applied to the acquisition of subsequent specially adapted
6housing to the extent that the proceeds equal the purchase
7price of the subsequently acquired housing.
8    For purposes of this Section, "unmarried surviving spouse"
9means the surviving spouse of the veteran at any time after the
10death of the veteran during which such surviving spouse is not
11married.
12    This exemption must be reestablished on an annual basis by
13certification from the Illinois Department of Veterans'
14Affairs to the Department, which shall forward a copy of the
15certification to local assessing officials.
16    A taxpayer who claims an exemption under Section 15-168 or
1715-169 may not claim an exemption under this Section.
18(Source: P.A. 94-310, eff. 7-25-05; 95-644, eff. 10-12-07.)
 
19    (35 ILCS 200/15-169)
20    Sec. 15-169. Disabled veterans standard homestead
21exemption.
22    (a) Beginning with taxable year 2007, an annual homestead
23exemption, limited to the amounts set forth in subsection (b),
24is granted for property that is used as a qualified residence
25by a disabled veteran.

 

 

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1    (b) The amount of the exemption under this Section is as
2follows:
3        (1) for veterans with a service-connected disability
4    of at least (i) 75% for exemptions granted in taxable years
5    2007 through 2009 and (ii) 70% for exemptions granted in
6    taxable year 2010 and each taxable year thereafter, as
7    certified by the United States Department of Veterans
8    Affairs, the annual exemption is $5,000; and
9        (2) for veterans with a service-connected disability
10    of at least 50%, but less than (i) 75% for exemptions
11    granted in taxable years 2007 through 2009 and (ii) 70% for
12    exemptions granted in taxable year 2010 and each taxable
13    year thereafter, as certified by the United States
14    Department of Veterans Affairs, the annual exemption is
15    $2,500.
16    (b-5) If a homestead exemption is granted under this
17Section and the person awarded the exemption subsequently
18becomes a resident of a facility licensed under the Nursing
19Home Care Act or a facility operated by the United States
20Department of Veterans Affairs, then the exemption shall
21continue (i) so long as the residence continues to be occupied
22by the qualifying person's spouse or (ii) if the residence
23remains unoccupied but is still owned by the person who
24qualified for the homestead exemption.
25    (c) The tax exemption under this Section carries over to
26the benefit of the veteran's surviving spouse as long as the

 

 

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1spouse holds the legal or beneficial title to the homestead,
2permanently resides thereon, and does not remarry. If the
3surviving spouse sells the property, an exemption not to exceed
4the amount granted from the most recent ad valorem tax roll may
5be transferred to his or her new residence as long as it is
6used as his or her primary residence and he or she does not
7remarry.
8    (c-1) Nothing in this Section shall require the veteran to
9have qualified for or obtained the exemption before death if
10the veteran was killed in the line of duty.
11    (d) The exemption under this Section applies for taxable
12year 2007 and thereafter. A taxpayer who claims an exemption
13under Section 15-165 or 15-168 may not claim an exemption under
14this Section.
15    (e) Each taxpayer who has been granted an exemption under
16this Section must reapply on an annual basis. Application must
17be made during the application period in effect for the county
18of his or her residence. The assessor or chief county
19assessment officer may determine the eligibility of
20residential property to receive the homestead exemption
21provided by this Section by application, visual inspection,
22questionnaire, or other reasonable methods. The determination
23must be made in accordance with guidelines established by the
24Department.
25    (f) For the purposes of this Section:
26    "Qualified residence" means real property, but less any

 

 

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1portion of that property that is used for commercial purposes,
2with an equalized assessed value of less than $250,000 that is
3the disabled veteran's primary residence. Property rented for
4more than 6 months is presumed to be used for commercial
5purposes.
6    "Veteran" means an Illinois resident who has served as a
7member of the United States Armed Forces on active duty or
8State active duty, a member of the Illinois National Guard, or
9a member of the United States Reserve Forces and who has
10received an honorable discharge, including a veteran who was
11killed in the line of duty.
12(Source: P.A. 96-1298, eff. 1-1-11; 96-1418, eff. 8-2-10;
1397-333, eff. 8-12-11.)
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.