Illinois Disabled Veteran Real Estate Tax Exemption – UPDATE MARCH 2024

While we are a hard money lender, my history in the residential space still has me following the market.  Because I am a disabled veteran, I am in tune with the veteran benefits, especially those in my home state of Illinois.  I feel it is essential that everyone, both veterans and those that value their service and sacrifice.

If you have read any of my earlier articles on this, you know that this is a benefit that while appropriately helping our vets had some major flaws.  Specifically, the cliff that occurs when a disabled veterans home exceeds an Equalized Assessed Value (EAV) of $250,000 or greater.  In short, when the property reaches that level, the benefit is completely lost as opposed to a more appropriate adjustment.

The good news has been that after a long period of non-response and non-action on behalf of our state government, there has been progress in fixing the short-comings.  There was a bill HB2507 which included a plan to change the cliff to a cap under which the veteran would retain some benefit at the maximum EAV.  This bill cleared the state house but was vetoed by Governor Pritzker due to some other components of the legislation.  I highlight this because the veto was not associated with a desire to help disabled veterans which opened the opportunity to re-introduce the benefit.

This is exactly what happened and the bill cleared the house late last year and is now in the Illinois Senate under SB2315.  This is good news and progress as long as it is addressed and put in front of Governor Pritzker in this legislative session.  Currently, the bill has been assigned to referred to assignments, which means that decisions are being made and it is a good time to let your elected officials know how you feel about the benefit to encourage their support if you the planned fix makes sense.

I do want to take a moment recognize those in the state government that have sponsored this as they have shown there support for Illinois’ disabled veteran community.

  • Sen. Celina Villanueva [D]
  • Sen. Mike Porfirio [D]
  • Sen. Jil Tracy [R]
  • Rep. Stephanie Kifowit [D]
  • Rep. Sue Scherer [D]
  • Rep. LaShawn Ford [D]
  • Rep. Harry Benton [D]
  • Rep. Jaime Andrade [D]
  • Rep. Edgar Gonzalez [D]
  • Rep. Bradley Fritts [R]
  • Rep. Travis Weaver [R]
  • Rep. Dennis Tipsword [R]
  • Rep. Mike Coffey [R]
  • Rep. Lindsey LaPointe [D]
  • Rep. Gregg Johnson [D]
  • Rep. Lance Yednock [D]
  • Rep. Sharon Chung [D]
  • Rep. Kevin Olickal [D]
  • Rep. Margaret Croke [D]
  • Rep. Mary Flowers [D]
  • Rep. Abdelnasser Rashid [D]
  • Rep. Martin Moylan [D]
  • Rep. Hoan Huynh [D]
  • Rep. Katie Stuart [D]
  • Rep. Robert Rita [D]
  • Rep. Dave Vella [D]
  • Rep. Marcus Evans [D]
  • Rep. Matt Hanson [D]
  • Rep. Kevin Schmidt [R]
  • Rep. Mary Gill [D]
  • Rep. Fred Crespo [D]
  • Rep. Michael Kelly [D]

Thanks to these folks for supporting our disabled veterans and choosing action over the disregard that I found to be my experience.  I especially want to highlight Rep. Kifowit who was the sole elected official who not only took the time to listen, but has been an amazing source of help and updates on the bill allowing me to educate the veteran community.