Increased Senior Citizen Exemption possible on property taxes!
Legislation crafted by Cook County Assessor Joseph Berrios will increase the amount of savings for the homeowners in Cook County and those who receive Senior Exemptions throughout the state.
Senate Bill 1894 passed both houses of the General Assembly last week and the legislation is expected to be signed shortly by Governor Quinn.
The homestead exemption for Cook County senior citizens would rise from $4,000 annually to $5,000, Berrios told the (Chicago Sun Times). Under the legislation, senior citizens in other parts of the state would see the same rise in their exemption, but that change won’t kick in until tax bills are sent out next year.
With the area tax rate approaching $13.00 per hundred of assessed valuation this year, an increase of $1000 in the Senior Exemption would result in a tax savings of 13.00 * $1000/100 = 130 dollars from taxes paid in 2014.
Winnebago County officials have said that with approximately 22,000 Senior Citizen Exemptions in the county, this change will reduce the tax base by $22,000,000 when/if the governor signs it.
To place this tax base decrease in context, the county has lost over 20% of its Assessed Value over a four year period, over $917M in EAV – $2.75B in actual value, including new construction and farm increases. This Senior Exemption would add 2.4% more to the loss.
County officials say that this would be the equivalent of reducing the county’s Equalized Assessed Value by eliminating the value of Cherry Valley Mall twice and the value of Clock Tower almost three times.
Of course, the total taxes collected by the county are not necessarily reduced by that amount. Since the taxes collected may remain the same as the previous year, plus the rate of inflation under the PTELL Tax Cap laws, the rate will increase and those who didn’t receive senior exemptions or who do not file successful assessment complaints will make up the difference.
Your tax dollars for tax code 001, which includes the City of Rockford and the Rockford School District, are divided between taxing bodies as follows for taxes paid in 2012:
Rockford School District 205 – 53.84%; Rockford City – 20.68%; Winnebago County – 7.12%; Rockford Park District – 6.92%; Rock Valley Community College – 3.73%; Rockford City Library – 3.17%; with Rockford Township, Rock River Water Reclamation, Airport and Forest Preserve making up the remaining 4.5% or so.