Bill > HB3724

This bill amends the Property Tax Code to provide additional protections for homeowners by limiting annual property tax increases for properties receiving the General Homestead Exemption. Starting with the 2026 tax year (to be collected in 2027), the total property tax bill for a homestead property cannot exceed 103% of the previous year's total property tax bill. The bill modifies existing provisions related to the General Homestead Exemption, which currently offers different maximum exemption amounts based on the county's population. The exemption allows homeowners to reduce their property's equalized assessed value, with the reduction amount varying depending on the county size and the property's assessment history. The bill maintains the core principles of the existing homestead exemption program while introducing a new cap on year-to-year tax increases, which aims to provide some predictability and protection for homeowners against sudden, significant property tax hikes. This change could help homeowners, particularly in areas with rapidly rising property values, by ensuring that their annual property tax bill does not increase by more than 3% in a single year.

Budget and Finance

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=3724&GAID=18&DocTypeID=HB&SessionID=114&GA=104