PIO-16 (R-10/23) Page 2 of 3
What determines my property tax?
Your tax bill is based on two factors:
• equalized assessed value (EAV) of your property, and
• amount of money your local taxing districts need to operate
during the coming year (i.e., levies).
The assessment on your property is set by local ocials and
is merely a method of fairly distributing the tax burden among
all property owners in your community (i.e., the tax base). Your
tax bill can remain the same or decrease even though your
assessment is increased if the tax base increases or the taxing
districts do not increase their levies. Conversely, your tax bill
can increase even though your assessment remains the same
or decreases if the tax base decreases or the taxing districts
increase their levies.
How can I determine if my assessment is fair?
Once you have veried that the information on your
assessment record is accurate, you can use one of two
methods to quickly determine if your assessment is fair.
Method 1: Compare the fair market value of your property
with recent sales of similar properties in your neighborhood.
The fair market value of your property is dened as the price
you would accept if a willing and able buyer would oer
to purchase your property at today’s prices. This method
is appropriate if you have either recently purchased your
property on the open market or obtained a professional
appraisal.
Method 2: Compare the assessed value of your property
with similar properties in your neighborhood to determine
uniformity in assessments. You can get the assessed
value of your property from the township or multi- township
assessor, or the CCAO, also referred to as supervisor of
assessments. You have the right to inspect the assessment
record for any parcel of property subject to reasonable
regulations set by local ocials.
What can I do if I think my assessment is unfair?
There are several administrative remedies available to you.
If your property is in Cook County, you can apply for revision
with the county assessor or le a complaint with the Cook
County Board of Review. If your property is outside Cook
County, you can le a complaint with that county’s board of
review.
If you are dissatised with the board’s decision, you may
appeal to the Illinois Property Tax Appeal Board or le a tax
objection complaint in circuit court. A favorable court ruling is
unlikely unless you have exhausted all available administrative
remedies.
An Overview of Property Tax
Note: If you think your assessment is unfair, it is important
to timely pursue administrative remedies. Your “notice of
assessment change” form lists the ling deadlines. Once you
receive your tax bill, it is generally too late to challenge your
assessment.
What will happen if I don’t pay my property tax?
A lien will be placed on your property that may be sold to
recover the amount of tax due. If this action occurs and your
property is residential, with six units or less, you may redeem
it within two and one-half years of the date of sale. You must
pay penalties and other costs (including interest) in addition
to any tax due. Other classes of property (e.g., agricultural,
commercial) have dierent redemption time periods. If you do
not redeem your property, you may lose it.
Is there tax relief available to property
owners?
The Property Tax Extension Limitation Law (PTELL) generally
restricts the growth in property tax revenue to taxing districts
to 5 percent or the annual change in the U.S. Consumer Price
Index, whichever is less. However, a higher tax rate may be
approved by the voters. Originally this law covered property
only in Lake, DuPage, Kane, McHenry, and Will counties. In
1995, Cook County property was included, and in subsequent
years the law was extended to other counties by referendum.
To date, 33 counties have passed referenda. (A referendum
can be held in a county at the request of the county board.)
Owner-occupied residences may be eligible for a General
Homestead Exemption, which reduces their EAV. This
exemption is equal to the current EAV above the EAV on that
same property in 1977. The exempt amount cannot exceed
$6,000 for most counties and $8,000 for counties contiguous to
Cook County.
In Cook County, owner-occupied residences may also be
eligible for a General Homestead Exemption. This exemption is
equal to the current EAV above the EAV on that same property
in 1977. The exempt amount cannot exceed $10,000.
Persons 65 years of age or older who own and occupy their
own home may apply for a
• Senior Citizens Homestead Exemption that reduces the
EAV of a home by an additional $5,000 (for most counties)
or $8,000 (for Cook County and counties contiguous to
Cook County), and
• Low-Income Senior Citizens Assessment Freeze
Homestead Exemption if the household income is $65,000
or less and they meet other criteria. The property’s EAV
is frozen at a base year value to prevent any increases in
EAV due to ination.