Proposed property tax relief laid out in governor's budget

DECATUR, Ill. (WAND) - Gov. J.B. Pritzker appeared in Decatur on Wednesday to talk about his "Family Relief Plan," a series of proposed tax cuts.

The governor stated the goal of the relief plan is to help taxpayers. The plan would deliver $1 billion in relief from grocery, gas and property taxes as well as masking payments to the state pension and rainy day funds.

In the plan, $475 million property tax rebates are set for Illinois families. It would be a one-time property tax rebate payment to homeowner of 5% of property taxes paid, up to $300 for those eligible for a state income tax credit.

Property tax is controlled by local taxing districts, so Pritzker hopes this proposal will encourage these municipalities to lower the property tax.

"I encourage any local taxing district to take a hard look at reduces property tax that they impose," Pritzker said.

Many municipalities, schools and other taxing bodies impose property taxes and increase them because of increased needs. The governor said at the state level they are jumping starting this relief and it could bring relief to nearly 2 million tax payers.

"When I was first elected I pledged to budget responsibly and with a focus on reducing the burdens on working families. The Illinois Family Relief Plan does just that," the governor said.

The proposed plan also outlines changes to Illinois' state tax on groceries and tax. According to the plan, it would put an additional $360 million back into the pockets of residents and freeze the gas tax by holding rates flat at the pump and put $135 million back into people's pockets.

"This is offering real relief that you can see in your checkbook at the end of the month and that you can see at the grocery story and when you go to pump gas at the gas station," said Sen. Doris Turner (D-48th District).

If passed, Pritzker said the property tax rebate, and freezes on Illinois’ state gas and grocery taxes go into effect on July 1.