Homestead Exemptions reduce the taxable value of a property by a specific amount prior to taxes being calculated; the actual tax savings depends upon the tax rate for a specific property. They are typically available for properties that are occupied by their owners or persons with legal or equitable interest as of January 1 of the taxable year.
Example of the Impact of Exemptions
Each exemption reduces the tax burden of a qualifying property by reducing its taxable value. In Kane County, tax rates generally range from about 6.50% to 11.25%, with a median rate of 9.00%; they can be higher in special-service areas.
In the following example, a senior citizen homeowner lives in a house with a fair cash value of $225,000; the homeowner is living off savings, and has an income that qualifies for the senior freeze with a base-year EAV of $56,657. The benefits of the available homestead exemptions, based on a property tax rate of 9.0%, are:
|Level of Assessment ||33.33%||||33.33%|
|Equalized Assessed Value||$74,993||||$74,993|
| General ||||||($6,000)|
| Senior Citizen ||||||($5,000)|
| Senior Freeze ($56,657 base year)||||||($18,336)|
|Estimated Tax Rate||X 9.00%||||X 9.00%|
|Tax Dollars Due||$6,749||||$4,109|
|Total Tax Savings from exemptions: $2,640 (39%)|
Click on an exemption below for more information: