Illinois Natural Disaster Homestead Exemption

How it works

The Illinois Department of Revenue says the Natural Disaster Homestead Exemption applies to homestead property for a rebuilt residential structure following a widespread natural disaster occurring in tax year 2012 or later.

What the money covers

This is a property-tax exemption, not a repair grant. The amount of the exemption is the reduction in equalized assessed value (EAV) of the residence in the first taxable year for which the taxpayer applies, minus the EAV of the residence for the taxable year before the natural disaster.

Amounts and matching

The exemption amount is tied to the decrease in assessed value; the state page does not give a dollar cap.

How to apply

The initial Form PTAX-327, Application for Natural Disaster Homestead Exemption, must be filed with the Chief County Assessment Office no later than July 1 of the first taxable year after the residential structure is rebuilt, or by the county’s filing date.

Timing and deadlines

The exemption continues at the same amount until the property is sold or transferred. The form must be filed each year to continue receiving the exemption.