Bill > HB1334

This bill amends the Property Tax Code to modify the homestead exemption for persons with disabilities. Starting in the 2026 tax year, the bill introduces a new provision that specifically states if a person with a disability is eligible to receive disability benefits under the federal Social Security Act, their property will be fully exempt from taxation. The existing law already provided a $2,000 annual homestead exemption for persons with disabilities, which requires the property to be their primary residence and the person to be liable for property taxes. The bill maintains the current definition of a "person with a disability" as someone unable to engage in substantial gainful activity due to a medically determinable physical or mental impairment expected to last at least 12 months. Proof of disability can be established through Social Security disability benefits eligibility, an Illinois Person with a Disability Identification Card, or a medical examination. The bill represents an expansion of tax relief for disabled property owners by potentially providing a full property tax exemption for those receiving federal disability benefits.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=1334&GAID=18&DocTypeID=HB&SessionID=114&GA=104