IL SB3872

Creates the "free and clear senior homestead exemption" in Illinois, providing complete property tax exemption for qualifying homeowners beginning in taxable year 2027

Eligibility requires homeowners to be 75 years of age or older, use the property as a primary residence, and have household income not exceeding $100,000 (adjusted annually for inflation using the Consumer Price Index)

Property must be owned free of all liens, including mortgages, home equity lines of credit, and reverse mortgages to qualify for the exemption

Exemption extends to cooperative apartments and life care facilities, with tax savings required to be credited to qualifying residents; willful failure to credit savings constitutes a Class B misdemeanor

Exemption continues if the qualifying senior moves to a licensed care facility, provided the spouse (age 75+) remains in the home or the property remains unoccupied but still owned by the qualifying person