Bill > HB1563

This bill amends the Property Tax Code to increase the maximum income limitation for the Senior Freeze Homestead Exemption from $65,000 to $75,000 for taxable year 2026. Starting in taxable year 2027, the bill introduces an annual adjustment mechanism where the maximum income limitation will be increased each year based on the change in the Consumer Price Index (CPI), which is a measure of the average change in prices of goods and services purchased by urban consumers. The CPI adjustment will be calculated by multiplying the previous year's limitation by the percentage increase in the CPI during the 12-month period ending in September of the preceding year, with the result rounded to the nearest $100. This exemption is designed to help low-income senior citizens (aged 65 and older) by freezing the assessed value of their homes for property tax purposes, which can help prevent property taxes from increasing as home values rise. The bill aims to provide continued financial relief for senior homeowners by updating the income threshold and creating a mechanism for future adjustments that keep pace with inflation.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=1563&GAID=18&DocTypeID=HB&SessionID=114&GA=104