In the State of Illinois, non-home rule units of government located in counties subject to the Property Tax Extension Limitation Law (PTELL) are limited in the size of their annual property tax extension to 5% or the increase in the Consumer Price Index (CPI), whichever is less. However, the limitation is subject to some exceptions and can be increased by referendum. The Forest Preserve District of Cook County is reportedly considering asking taxpayers for a larger levy to pay for pensions and a large backlog of land restoration and maintenance needs.
Be wary of PTELL. When property values go up taxing bodies are limited to the 5% or 1/2 of inflation whichever is less but what is not fully disclosed is that when values go down they can exceed the 5% threshold. Any home or business that gets any tax incentive or reduction like an abatement everyone else’s tax rate goes up to compensate the loss of revenue. Under PTELL they can get what was LEVIED the year before not billed or collected and that’s why they can’t lose. Here in Rockford the tax rate a while back went up 8-11%… Read more »
Be wary of PTELL. When property values go up taxing bodies are limited to the 5% or 1/2 of inflation whichever is less but what is not fully disclosed is that when values go down they can exceed the 5% threshold. Any home or business that gets any tax incentive or reduction like an abatement everyone else’s tax rate goes up to compensate the loss of revenue. Under PTELL they can get what was LEVIED the year before not billed or collected and that’s why they can’t lose. Here in Rockford the tax rate a while back went up 8-11%… Read more »