How does property tax exemptions work in Illinois?
The homeowner (or “homestead”) exemption allows you to take $10,000 off of your EAV. The $10,000 reduction is the same for every home, no matter its market value or EAV. So if a property’s EAV is $50,000, its tax value would be $40,000. If a home has an EAV of $200,000, its tax value would be $190,000.
What properties are exempt from paying property taxes in Illinois?
For the law itself, see Illinois’s Property Tax Code at 35 ILCS Section 200.
- Primary residence. You may qualify for a homeowner exemption if the house in question is your primary residence. …
- Senior citizens. …
- Disabled persons. …
- Home improvements. …
- Disabled veterans. …
- Returning veterans. …
- Natural disasters.
What is the homeowners exemption in Illinois?
Exemptions reduce the Equalized Assessed Value (EAV) of your home, which is multiplied by the tax rate to determine your tax bill. Homeowner Exemption reduces the EAV of your home by $10,000 starting in Tax Year 2017 (payable in 2018).
How can I avoid paying property taxes in Illinois?
Who’s eligible for a property tax exemption in Illinois?
- Own or lease a house in the state, live in it as their principal residence and are responsible for paying taxes on the property.
- Have a disability.
- Are disabled veterans who have used federal funds to adapt their home to accommodate their disability.
Why are property taxes so high in Illinois?
The city’s eight pension funds have accumulated nearly $45 billion in debt, more debt than 44 U.S. states. Local governments across Illinois have pension debt worth $63 billion that causes property taxes to rise each year.
Who qualifies for the Illinois property tax Credit?
You will qualify for the property tax credit if: your principal residence during the year preceding the tax year at issue was in Illinois, and. you owned the residence, and. you paid property tax on your principal residence (excluding any applicable exemptions, late fees, and other charges).
Do I have to apply for homestead exemption every year?
If you miss the deadline, you may apply for the following year. Once you receive an exemption, you don’t need to reapply again unless the chief appraiser sends you a new application.
Who is eligible for homestead exemption?
Who Is Eligible for a Homestead Exemption? Eligibility for the homestead exemption varies by state. Typically, you will be eligible if your income is low, you are a senior, you have a disability, or you are a veteran. Exemptions can be combined if you fall into more than one category.