Springfield, IL – State Representative Amy Grant is urging members of the General Assembly to support her proposal to clarify Illinois’ Disabled Veteran Property Tax Exemption.
Currently, disabled veterans are allowed to apply for the state’s tax exemption, but only after they close on their home. Mortgage underwriters are required to count the estimated real estate taxes for the property against the veteran when they are qualifying the veteran’s financial status for the home loan. Despite Illinois having a tax exemption for disabled service members, veterans across Illinois are paying thousands of dollars in upfront real estate taxes. While the tax dollars will ultimately be refunded once the veteran’s tax-exempt status is formally approved, the process is counterintuitive and should be changed.
Rep. Grant said, “Disabled veterans have made significant sacrifices while in service to our country. The State of Illinois has recognized this sacrifice with our Disabled Veteran Property Tax Exemption. However, the current system for granting this exemption does not address the fact that the very same veterans who qualify for it are being forced to pay property taxes upfront when closing on a home…”
Rep. Grant’s proposal would give Illinois’ disabled veterans their property tax-exempt status before they take ownership of their homes. The proposal also would provide veterans with written verification of their tax exemption, which allows mortgage underwriters to disregard real estate taxes when qualifying a veteran’s debt-to-income ratio.
Rep. Grant continued, “This is a common-sense change that all members of the General Assembly should be open to supporting. Disabled Veterans should not have to jump through technical and bureaucratic hoops to receive the tax exemption that Illinois lawmakers have already determined that they have earned.”
Representative Grant continues to build support for this legislative proposal from her colleagues in the Illinois General Assembly. Any questions regarding this or any other legislation that the Representative is working on may be directed to her district office at 331-218-4182.