Faraci measure to waive interest penalty for delinquent property taxes

SPRINGFIELD – State Senator Paul Faraci advanced a measure out of the Senate on Thursday that would ensure fairness in the tax collection process.

“This legislation ensures that property owners are not penalized for mistakes that were not their own and are out of their control,” said Faraci (D-Champaign). “Property owners should not have to face excess financial burdens because of the errors made by others.”

This measure would waive the interest penalty for delinquent property taxes if the property owner does not receive a tax bill because it was mailed to the wrong address or e-mailed to the incorrect address, and if the mistake was not the fault of the property owner.

Under current law, the Property Tax Code imposes a penalty of 1.5% interest per month on delinquent property taxes. Senate Bill 2277 would add that interest on delinquent property taxes will be waived when a property owner does not receive his or her property tax bill for the applicable tax year because the bill was mailed to an incorrect address.

Senate Bill 2277 passed the Senate and now heads to the House for further action.