Rob Hartley

Founder, AppealDesk · March 27, 2026

Illinois Property Tax Law Changes 2026: What Homeowners Need to Know

Updated March 2026

Illinois Exemption Landscape for 2026

General Homestead Exemption

The General Homestead Exemption reduces your Equalized Assessed Value (EAV):

• Cook County: $10,000 EAV reduction
• All other counties: $6,000 EAV reduction

At Cook County's median tax rate, the $10,000 EAV reduction saves approximately $700-$1,000/year. This must be claimed -- it is not automatic.

Senior Citizen Homestead Exemption

Homeowners age 65+ receive an additional $8,000 EAV reduction on top of the General Homestead Exemption. No income limit. Must be renewed annually.

Senior Citizen Assessment Freeze (Senior Freeze)

The Senior Freeze locks your EAV at the level when you first qualified, protecting you from assessment increases. Key details for 2026:

• Income threshold: Combined household income of $65,000 or less (raised from $55,000 by prior legislation)
• Age requirement: 65 or older
• What it freezes: Your EAV -- not your tax bill. If tax rates increase, your bill can still rise.
• Must renew annually with income verification

Stacking: You can claim the General Homestead + Senior Citizen Homestead + Senior Freeze simultaneously. This is Illinois's most powerful combination for seniors.

PTELL: The Property Tax Cap

The Property Tax Extension Limitation Law (PTELL, or "tax caps") limits how much total tax revenue a taxing district can collect each year:

• Cap: 5% or CPI, whichever is less
• What it limits: The total tax levy (not individual assessments)
• Exceptions: New construction, annexation, voter-approved referenda

Important distinction: PTELL caps the total levy, not your individual assessment. If your assessed value increases faster than your neighbors', your share of the levy grows even if the total stays capped. This is why appealing an inflated assessment matters even in PTELL counties.

Cook County: Assessment Cycle and Reform

Cook County operates on a triennial assessment cycle, with the county divided into three groups reassessed in rotation. The Cook County Assessor's office has been implementing a more transparent, data-driven assessment model:

• Assessment ratio: 10% of market value for residential (Class 2)
• Equalization factor (multiplier): Applied by the state to bring Cook County assessments to 33.33% of market value
• 7% annual cap: Cook County limits homestead assessment increases to 7% per year

If your triennial reassessment year is 2026, pay close attention to your assessment notice. Triennial years often bring the largest increases.

Cook County Inheritance Rule

Unlike most jurisdictions, Cook County does not reassess on inheritance. This means if you inherit a home in Cook County, you keep the prior owner's assessed value. This is a significant benefit not available in most other Illinois counties.

Appeal Process for 2026

• Cook County: File with the Cook County Assessor's office during your township's appeal window, then appeal to the Board of Review
• Other counties: File with the County Board of Review within 30 days of assessment publication
• Evidence: Comparable sales, property condition, assessment errors (wrong sqft, extra rooms)
• Second level: If denied, appeal to the Property Tax Appeal Board (PTAB) or Circuit Court

2026 Action Checklist for Illinois Homeowners

1. Verify your General Homestead Exemption is on file ($10K Cook / $6K other)
2. If 65+: Claim the $8,000 Senior Citizen Homestead Exemption
3. If 65+ and income under $65K: Apply for the Senior Freeze
4. If in a triennial reassessment year: Compare your new assessment to comparable sales
5. File your appeal within 30 days of your assessment notice if over-assessed