Illinois Senior Property Tax Exemptions: the facts

1. Illinois property tax is charged on equalized assessed value, roughly a third of market value, at a local composite rate. An exemption reduces that value, so its worth in dollars is the reduction times the rate: a $10,000 exemption at an 8 percent rate saves $800 a year.
2. The general homestead exemption on an owner-occupied home is $10,000 in Cook County, $8,000 in the counties touching it, and $6,000 elsewhere (35 ILCS 200/15-175).
3. From age 65 the senior citizens homestead exemption adds $8,000 in Cook and the collar counties and $5,000 elsewhere (15-170); it is claimed once and renews.
4. A homeowner 65 or older with household income of $75,000 or less (for taxable year 2026; $65,000 through 2025, rising to $79,000 from 2028) may freeze the equalized assessed value at the year of first application; the exemption each year is the growth since then (15-172).
5. Example: a Cook County home assessed at $60,000 (about $180,000 of market value), owner 70, income $50,000, frozen at $50,000, at an 8 percent rate: $28,000 of exemptions, $2,240 a year saved on a $4,800 bill.
6. The freeze must be renewed every year with an income affidavit, and its income test counts the whole household's income, including Social Security. Other exemptions exist for veterans with disabilities, people with disabilities, and home improvements.

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