How to Calculate a Tax Bill

Property Tax bills in Illinois are typically due June 1 and September 1 for the prior year (tax are in arrears). Property is assessed as of January 1 of the year prior to tax bill. All tax bills are calculated using the following method:

  • Assessed Value less any exemptions times the tax rate divided by 100 (tax rates are per $100 of assessed value)

Some examples are shown below.

  • The assessed value is $40,000. There are no exemptions. The tax rate is 7.9280. $40,000 X 7.9280 = 317120 / 100 = $3,171.20 are the taxes for this property.

  • The assessed value is $40,000. The owners live in the home, so they have the Owner/Occupied Exemption. The 1977 EAV is $20,000, so the exemption is worth the maximum of $6,000. The tax rate is 7.9280. $40,000 – 6,000 (owner occupied) = $34,000 X 7.9280 = 269552 / 100 = $2,695.52 are the taxes for this property.

  • The assessed value is $40,000. The owners live in the home and have the Owner/Occupied Exemption. They are senior citizens and also have the Homestead Exemption. The 1977 EAV is $20,000. The tax rate is 7.9280. $40,000 – 6,000 (owner occupied) – 4,000 (homestead) = $30,000 X 7.9280 = 237840 / 100 = $2,378.40 are the taxes for this property.

  • The assessed value is $40,000. The owners live in the home and have the Owner/Occupied Exemption. They are senior citizens and have the Homestead Exemption. They also signed for and were eligible for the Senior Assessment Freeze. When they initially signed for this exemption, their assessed value was $35,000 which is now their freeze base. So this year the freeze exemption will be $5,000. The 1977 EAV is $20,000. The tax rate is 7.9280. $40,000 – 6,000 (owner occupied) – 5,000 (homestead) – 5,000 (freeze) = $24,000 X 7.9280 = 190272 / 100 = $1,902.72 are the taxes on this property.

  • The assessed value is $40,000. The owners live in the home and have the Owner/Occupied Exemption. They are senior citizens and have the Homestead Exemption. They were not eligible for the Senior Assessment Freeze. They added a new garage and have signed for the Home Improvement Exemption. Their garage was valued at $3,000 (full value), so the assessed value is $1,000. By signing the Home Improvement Exemption, they will get the assessed value (1,000), exempted off of their assessment for 4 years. The 1977 EAV is $20,000. The tax rate is 7.9280. $40,000 – 6,000 (owner occupied) – 5,000 (homestead) – 1,000 (home improvement) = $28,00 X 7.9280 = 221984 / 100 = $2,219.84 are the taxes for this property.

These examples should give you an idea of how taxes are calculated. To see the criteria for each exemption, please see the exemption page.