Earlier this year, the Cook County Assessor’s Office released the application instructions for the Affordable Housing Special Assessment Program. The March 31 deadline to file an application for this program is quickly approaching. The Affordable Housing Special Assessment Program provides property tax relief to incentivize the creation, rehabilitation, and maintenance of affordable housing units in Cook County. Property owners who apply timely can receive yearly reductions in assessed value beginning with the 2022 (taxes payable in 2023) assessment year.
The Cook County Assessor’s Office manages programs authorized by Illinois state law to address the special valuation of affordable housing. Eligible properties may apply for both the Affordable Housing Special Assessment Program and the Low-Income Housing Tax Credit (LIHTC) valuation program. If you are the owner of an affordable housing development in Cook County, Illinois, your property may qualify for the following programs:
- In-Service Affordable Properties
If your property currently offers affordable housing and you have made substantial improvements to the property since 2015, you may be eligible for the Affordable Housing Special Assessment Program. This video recording on YouTube will help you navigate the application. - Prospective Affordable Housing
If your property offers affordable housing or if you’re considering renting to eligible households at affordable rents but have not made substantial improvements to the property in the last seven years, this video recording on YouTube will help you understand the application process. - Low Affordability Communities
This portion of the Affordable Housing Special Assessment Program provides special reductions targeted at defined geographic areas within Cook County that are particularly lacking in affordable housing. This includes the downtown area, as outlined in the Chicago Zoning Ordinance, and other designated areas by passage of a local ordinance. If you would like to offer affordable housing in these parts of the county, please watch this video recording on YouTube.
Low-Income Housing Tax Credit
Low-income housing projects that qualify for the Low-Income Housing Tax Credit (LIHTC) under Section 42 of the Internal Revenue Code are now eligible for assessments that reflect their actual or projected net operating income. Your Illinois Housing Development Authority or City Housing Department identification number(s) and tax forms, in addition to your contact information and email address, are required to apply and track the status of your application.
The local tax experts at Ryan are available to assist clients with the applications for both the Affordable Housing Special Assessment Program and LIHTC. Valuations are available at https://www.cookcountyassessor.com/affordable-housing. Our experts are available to answer any questions on completing the applications.
TECHNICAL INFORMATION CONTACTS:
Michael Abbatemarco
Principal
Ryan
312.980.1145
michael.abbatemarco@ryan.com
Shawn King
Principal
Ryan
312.980.1127
shawn.king@ryan.com
The material presented in this communication is intended to provide general information only and should solely be seen as broad guidance and not directed to the particular facts or circumstances of any individual who may read this publication. No liability is accepted for acts or omissions taken in reliance upon the content of this piece. Before taking (or not taking) any action, readers should seek professional advice specific to their situation from Ryan, LLC or other tax professionals. For additional information about this topic, please contact us at info@ryan.com.