IDOR REMINDER 2/25/25 The
Illinois Department of Revenue (IDOR) is reminding senior citizens about the
availability of the Senior Citizens Real Estate Tax Deferral Program. The
program, which works like a loan, allows qualified seniors to defer all or part
of their property taxes and special assessment payments on their principal
residences. The deadline to apply for the program this year is March 1st. The
maximum amount that can be deferred, including interest and lien fees, is 80%
of the taxpayer’s equity interest in the property. The maximum deferral
each year is limited to $7,500. Deferred amounts are borrowed from the
state, who pays the tax bill to the county collector’s office. Interest
on the amount paid by the state accumulates and a lien is placed on the
property for all deferred tax payments and interest. Three percent simple
interest per year is payable upon death of the homeowner, at the time the home
is transferred to a new owner, or sooner, if the program participant chooses to
pay off the deferred tax payments and interest. To
qualify for the Senior Citizens Real Estate Tax Deferral, a property owner
must; be 65 years of age or older prior to June 1st of the year that
the application is being filed, have a total annual household income of $65,000
or less, have owned and occupied the property or other qualifying residence for
at least the last three years, own the property, or share joint ownership with
a spouse, or be the sole beneficiary, or the property owner and spouse be the
sole beneficiaries of an Illinois land trust, have no unpaid property taxes or
special assessments on the property, and have adequate insurance against fire
or casualty loss. To
apply for the program, seniors need to contact their local county collector’s
office to receive an application. Once completed, the application must be
filed on or before March 1st of each year they wish to defer their
property taxes or special assessments. There are no time extensions and
taxpayers must apply each year they wish to participate. For
general questions concerning the program, taxpayers may visit IDOR’s website at
tax.illinois.gov or contact their local county collector’s office.