The homestead exemption for persons with disabilities
An annual exemption for owner-occupiers with a qualifying disability, requiring yearly proof.
An annual exemption for homeowners with a qualifying disability, under 35 ILCS 200/15-168. It removes $2,000 of equalised assessed value — worth roughly $150 a year at a mid-range rate — and it is in addition to the general homestead exemption.
Who qualifies
You must own and occupy the property as your principal residence and be disabled within the meaning of the statute. Proof is normally one of:
- A Social Security Administration disability award
- Illinois Department of Human Services determination
- A Class 2 Illinois Disabled Person Identification Card
- A physician's statement on the county's form
It requires annual renewal
This is where it is most often lost. Unlike the general homestead exemption, this one generally requires an annual application in most counties. A missed renewal shows up as an unexplained increase on a bill and is frequently mistaken for a reassessment.
If you hold it, diary the renewal.
How it fits with other benefits
| Exemption | Stacks with this? |
|---|---|
| General homestead | Yes |
| Senior homestead (65+) | Yes |
| Senior assessment freeze | Yes, if income qualifies |
| Veterans with disabilities | Generally not both — check which is worth more |
That last row matters. A veteran with a service-connected disability at 70% or above is fully exempt under the veterans' provision, which is worth far more than $2,000 of assessed value. Where both might apply, establish which one you should be claiming rather than defaulting to the first form you found.
Home modifications
Illinois also provides relief for homes specially adapted with federal assistance for a veteran with a disability. Separately, work done to make a home accessible may qualify under the home improvement exemption, which shelters the added value for four years.
Neither is automatic. Both need an application, and the home improvement exemption needs a permit with a completion date.
What to do
- Check your bill for the exemptions currently applied.
- Apply through your county with whichever proof of disability you hold.
- Confirm whether your county requires annual renewal, and diary it if so.
- If you are also a veteran with a service-connected rating, check which provision gives more.
- Ask whether a missed year can be recovered by certificate of error.
What the exemption does not do
It does not reduce your assessment for the condition of the property, and it is not related to any accessibility work you have carried out. It is a personal entitlement attached to the owner, not a judgement about the building.
That distinction matters when deciding what else to claim. Work done to make a home accessible — a ramp, a widened doorway, an adapted bathroom — may raise the assessed value, and that increase is what the home improvement exemption shelters, for four years from completion, provided a permit records the date. The two exemptions do different jobs and neither substitutes for the other.
If you have moved
The exemption attaches to your principal residence. Moving means re-applying at the new property, and there is no automatic transfer between counties or even between properties in the same county. A move is also one of the most common moments for this exemption to be quietly lost, because the paperwork of moving crowds it out.