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What is Illinois’ property tax cycle?
The Illinois property tax cycle generally extends over a two-year period. A tax year is the year of assessment and reflects the value of real property as of January 1 of that year. The actual tax bills are paid in the year following the tax year. For example, taxes on a 2023 assessment are paid in 2024.
How is real property assessed in Illinois?
The required assessment level for tax purposes on any parcel of real property in any county, except Cook County, is 33 1/3 percent of the property’s fair market value, excluding farmland and farm buildings. Cook County classifies property and assesses classes at different percentages of fair market value. For example, the required assessment level for the residential class is 10 percent of fair market value. The Cook County Assessor’s Office has information about other classes.
The Village of Barrington limited itself to PTELL when becoming a home rule community. What is PTELL?
The Property Tax Extension Limitation Law (PTELL) generally restricts the growth in property tax revenue to taxing districts to 5 percent or the annual change in the U.S. Consumer Price Index, whichever is less. However, a higher tax rate may be approved by the voters.
The PTELL does not “cap” either individual property tax bills or individual property assessments. Instead, the PTELL allows a taxing district to receive a limited inflationary increase in tax extensions on existing property, plus an additional amount for new construction, and properties released from a Tax Increment Financing Area. The limit slows the growth of revenues to taxing districts when property values and assessments are increasing faster than the rate of inflation. As a whole, property owners have some protection from tax bills that increase only because the market value of their property is rising rapidly.
According to the Village’s adopted ordinance, there are only 2 ways in which the Village may levy above the PTELL limit. A) The Corporate Authorities of the Village (the Village Board) have determined a bona fide emergency or legal requirement dictates such an increase. B) That an advisory referendum has determined support within the community for such an increase.
If my property assessment is the same as last year, why is my tax bill so different from year to year?
Many factors impact the final property tax bill. First, other than Barrington, the levies of many agencies increase each year. This is particularly true for school districts, which account for approximately 69% of an average property tax bill. Second, the value of the homeowner’s exemption has changed a number of times recently making comparison to prior years extremely difficult.
Finally, as a result of property assessment appeals, your property may change in proportion to the Village as a whole. While any single residential property is a very small portion of the Village, large properties that receive downward assessment spreads the tax burden across all other properties in Barrington.
Who can answer questions about my property tax bill?
Property taxes are both assessed and paid through either Lake or Cook County, depending on where you live in town.
Cook County
The Cook County Assessor can answer questions regarding the calculation of your property tax and handle appeals. The local number is 847-470-7237. The Cook County Treasurer handles the collections and refunds of property tax payments. Please call 312-443-5100.
Lake County
The Lake County Assessor can answer questions regarding the calculation of your property tax and handle appeals. The local number is 847-377-2050. The Lake County Treasurer handles the collections and refunds of property tax payments. Please call 847-377-2323.
For more information on Illinois Property Taxes, please visit the Illinois Department of Revenue Property Tax website.