IL HB1326

Creates a new "5-year property homestead exemption" for Cook County residents who have occupied the same property as their principal residence for at least 5 continuous years as of January 1 of the tax year

Caps total property taxes at $5,000 per year for qualifying homestead properties, regardless of the property's assessed value, beginning in taxable year 2026

Requires homeowners to apply for the exemption through the Cook County Assessor during a designated application period, with the assessor providing annual notice by mail or publication

Property tax revenue collected from qualifying properties will be distributed proportionally among all taxing districts (schools, municipalities, etc.) based on their share of the property's total tax liability

Explicitly provides that no state reimbursement is required for local governments that lose revenue due to this exemption