CHICAGO – The city of Chicago has set a goal of ending its annual property tax exemption on the first day of 2019 and will increase its exemption to $300 million in 2019, the mayor’s office said on Wednesday.
The city’s 2017 property tax relief expired at the end of February, but a bill by a group of city leaders and the Cook County Board of Tax Appeals is expected to get final approval from the city council in late April.
The new exemption is expected not to go into effect until the end in 2022, the city said.
It is the first time in the city’s history that an exemption has expired and the city is now trying to negotiate a new one, the Mayor’s Office said.
The city will announce its proposed exemption on March 13.
The ordinance will increase property tax exemptions for all owners in the Chicago metro area and will require property owners to submit additional information to the city.
The council approved the measure on Feb. 28.
The council also approved the first phase of a $1.8 billion plan to increase tax relief for low-income residents in the downtown area, which included increasing the city property tax credit to $200 million in 2020.
The property tax deduction is set to go up to $250 million in 2021 and $350 million in 2022.