A home located in an Illinois county outside Cook County and not contiguous to Cook County has a market value of $590,000.00 and qualifies for a Senior Citizens Homestead Exemption of $5,000.00 applied to equalized assessed value. The applicable tax rate is 7%. Using one-third (1/3) as the assessment level, what is the estimated annual property tax after the exemption?
Correct Answer
C) $13,416.67
$13,416.67 is correct. Under Illinois law (35 ILCS 200/9-145), residential property in counties outside Cook and not contiguous to Cook is assessed at one-third (1/3) of market value. Step 1 — Assessed/Equalized Assessed Value: $590,000 ÷ 3 = $196,666.67. Step 2 — Apply the Senior Citizens Homestead Exemption (35 ILCS 200/15-170), which reduces EAV by $5,000: $196,666.67 − $5,000.00 = $191,666.67. Step 3 — Apply the tax rate: $191,666.67 × 0.07 = $13,416.67.
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Related Topics & Key Terms
Key Terms:
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Actual notice means a person has direct, personal knowledge of a fact or interest in real property. This can come from being told, seeing something firsthand, or any form of direct awareness.
Adverse possession is a legal doctrine that allows a person to claim ownership of land by occupying it continuously for a statutory period under specific conditions, without the true owner's permission.
A bargain and sale deed implies that the grantor holds title and possession of the property but does not include warranties against encumbrances or title defects.
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