IL HB3598

Allows chief county assessment officers in counties with fewer than 3,000,000 inhabitants to record tax liens against properties that received erroneous homestead exemptions.

Requires assessment notices in general assessment years to include information about available homestead exemptions, current exemptions on the property, penalties for erroneous exemptions, and a 60-day grace period to self-report errors without penalty.

Property owners who self-report erroneous homestead exemptions within 60 days and pay back taxes plus interest avoid penalties; those with 1-2 erroneous exemptions owe back taxes plus 10% annual interest, while those with 3+ erroneous exemptions owe back taxes plus 50% penalty and 10% annual interest.

Provides a 5-month amnesty period from the effective date allowing taxpayers owing back taxes from erroneous exemptions granted before 2014 to pay the full arrearage and avoid all interest, penalties, and prosecution.

Exempts certain heirs receiving property by bequest from penalties (but not interest) if the county did not require annual exemption applications, and exempts cases where the assessment officer made clerical errors if the owner paid their tax bills as received.