Illinois SB3781 makes the tax credit for residential real property taxes refundable.

Illinois SB3781 amends the Illinois Income Tax Act to make the tax credit for residential real property taxes refundable. Beginning with tax years ending on or after December 31, 1991, every individual taxpayer is entitled to a tax credit equal to 5% of real property taxes paid on their principal residence. For taxable years starting on or after January 1, 2026, if the credit exceeds the taxpayer's income tax liability, the excess will be refunded. This refund will not be included in the taxpayer's income or resources for means-tested benefit programs.

Illinois SB3781 makes the tax credit for residential real property taxes refundable.

Illinois SB3781 amends the Illinois Income Tax Act to make the tax credit for residential real property taxes refundable. Beginning with tax years ending on or after December 31, 1991, every individual taxpayer is entitled to a tax credit equal to 5% of real property taxes paid on their principal residence. For taxable years starting on or after January 1, 2026, if the credit exceeds the taxpayer's income tax liability, the excess will be refunded. This refund will not be included in the taxpayer's income or resources for means-tested benefit programs.