SB2427 Summary

• Establishes procedures in counties with 3,000,000+ inhabitants (Cook County) for identifying and collecting taxes owed on erroneous homestead exemptions, with liens filed against properties.

• Requires assessment notices to include information about available homestead exemptions, penalties for erroneous exemptions, and a 60-day grace period for taxpayers to self-report and pay without penalties.

• Imposes 10% annual interest on unpaid amounts for 1-2 erroneous exemptions within 3 years, or 50% penalty plus 10% annual interest for 3+ erroneous exemptions within 6 years, with exceptions for clerical errors and certain inherited properties.

• Permits property owners to request hearings within 30 days to challenge erroneous exemption determinations, with appeals available to circuit court.

• Establishes amnesty period through December 31, 2013 for taxpayers owing back taxes due to erroneous exemptions granted before 2013, allowing full payment without penalties or prosecution.

• Adds new notification requirement in Section 15-175 allowing property owners to notify assessor by March 1 of collection year if property no longer qualifies as principal residence, protecting owners from erroneous exemptions and associated penalties.