IL SB1456

Property owned by municipalities with populations over 500,000, units of local government within such municipalities, or home rule municipalities contiguous to such municipalities remains exempt from taxation when leased back to the municipality or unit of local government.

Exemption applies if the leaseback agreement gives the municipality or unit of local government the right to use, control, and possess the property or require another entity to use it for performing services.

Exemption terminates when the municipality or unit of local government no longer has the right to use or control the property and has no option to purchase or reacquire the transferred interest.

Property used for parking in municipalities with populations over 500,000 remains exempt, but any portion used for non-exempt purposes becomes subject to taxation only during periods of non-exempt use without affecting the exemption of remaining portions used for exempt purposes.

No taxes shall be assessed on property covered by this amendment prior to the effective date of this Act of the 101st General Assembly.