IL SB1405

Creates a new homestead exemption providing a $5,000 reduction from the equalized assessed value of property for surviving spouses of police officers or firefighters killed in the line of duty on or after January 1, 2026

Surviving spouses must hold legal or beneficial title to the homestead, permanently reside there, and not remarry to maintain eligibility; the exemption can be transferred to a new primary residence if the original property is sold

Exemption continues if the surviving spouse moves to a nursing home or VA facility, as long as they still own the unoccupied residence

Qualifying property must have an equalized assessed value under $250,000 and be used as the primary residence (not for commercial purposes); property rented for more than 6 months is presumed commercial

"Police officer" includes municipal police, conservation officers, sheriffs, deputies, and State Police; "firefighter" includes firefighters, paramedics, EMTs, and advanced EMTs employed by local government