Full Text of HB4445 101st General Assembly
HB4445 101ST GENERAL ASSEMBLY |
| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020 HB4445 Introduced 2/3/2020, by Rep. Eva Dina Delgado SYNOPSIS AS INTRODUCED: |
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Amends the Property Tax Code. Provides that, on and after January 1, 2021, deeds representing real estate transfers of residential property from a parent to a child are exempt from the real estate transfer tax if the child's household income for the taxable year in which the transfer occurs is less than $50,000 and the property has been the child's principal place of residence for at least 10 consecutive years immediately prior to the date of the transfer. 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,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Property Tax Code is amended by changing | 5 | | Section 31-45 as follows:
| 6 | | (35 ILCS 200/31-45)
| 7 | | Sec. 31-45. Exemptions. The following deeds or trust | 8 | | documents shall be
exempt from the provisions of this Article | 9 | | except as provided in this Section:
| 10 | | (a) Deeds representing real estate transfers made | 11 | | before January 1, 1968,
but recorded after that date and | 12 | | trust documents executed before January 1,
1986, but | 13 | | recorded after that date.
| 14 | | (b) Deeds to or trust documents relating to (1) | 15 | | property acquired by any
governmental body or from any | 16 | | governmental body, (2) property or interests
transferred | 17 | | between governmental bodies, or (3) property acquired by or | 18 | | from
any corporation, society, association, foundation or | 19 | | institution organized and
operated exclusively for | 20 | | charitable, religious or educational purposes.
However, | 21 | | deeds or trust documents, other than those in which the | 22 | | Administrator
of Veterans Affairs of the United States is | 23 | | the grantee pursuant to a
foreclosure proceeding, shall not |
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| 1 | | be exempt from filing the declaration.
| 2 | | (c) Deeds or trust documents that secure debt or other | 3 | | obligation.
| 4 | | (d) Deeds or trust documents that, without additional | 5 | | consideration,
confirm, correct, modify, or supplement a | 6 | | deed or trust document previously
recorded.
| 7 | | (e) Deeds or trust documents where the actual | 8 | | consideration is less than
$100.
| 9 | | (f) Tax deeds.
| 10 | | (g) Deeds or trust documents that release property that | 11 | | is security for a
debt or other obligation.
| 12 | | (h) Deeds of partition.
| 13 | | (i) Deeds or trust documents made pursuant to mergers, | 14 | | consolidations or
transfers or sales of substantially all | 15 | | of the assets of corporations under
plans of reorganization | 16 | | under the Federal Internal Revenue Code or Title 11 of
the | 17 | | Federal Bankruptcy Act.
| 18 | | (j) Deeds or trust documents made by a subsidiary | 19 | | corporation to its
parent corporation for no consideration | 20 | | other than the cancellation or
surrender of the | 21 | | subsidiary's stock.
| 22 | | (k) Deeds when there is an actual exchange of real | 23 | | estate and trust
documents when there is an actual exchange | 24 | | of beneficial interests, except that
that money difference | 25 | | or money's worth paid from one to the
other is not exempt | 26 | | from the tax. These deeds or trust documents, however,
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| 1 | | shall not be exempt from filing the declaration.
| 2 | | (l) Deeds issued to a holder of a mortgage, as defined | 3 | | in Section 15-103
of the Code of Civil Procedure, pursuant | 4 | | to a mortgage foreclosure proceeding
or pursuant to a | 5 | | transfer in lieu of foreclosure.
| 6 | | (m) A deed or trust document related to the purchase of | 7 | | a principal
residence by a participant in the program | 8 | | authorized by the Home Ownership
Made Easy Act, except that | 9 | | those deeds and trust documents shall not be
exempt from | 10 | | filing the declaration.
| 11 | | (n) On and after January 1, 2021, deeds representing | 12 | | real estate transfers of residential property from a parent | 13 | | to a child if the child's household income for the taxable | 14 | | year in which the transfer occurs is less than $50,000 and | 15 | | the property has been the child's principal place of | 16 | | residence for at least 10 consecutive years immediately | 17 | | prior to the date of the transfer. As used in this | 18 | | paragraph (n), "household income" means the combined | 19 | | income of the child, the child's spouse, and all persons | 20 | | using the property as their principal place of residence. | 21 | | (Source: P.A. 100-201, eff. 8-18-17.)
| 22 | | Section 99. Effective date. This Act takes effect upon | 23 | | becoming law.
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