Developer's Exemption Property Tax Code, Section 10-30

              Illinois Department of Revenue
Brian Hamer, Director
Publication 134 October 2007
Developer’s Exemption
Property Tax Code, Section 10-30
About this publication
The information in this publication is
current as of the date of the publi-cation.
Please visit our web site at
tax.illinois.gov to verify you have
the most current revision.
The contents of this publication are
informational only and do not take
the place of statutes, rules, or court
decisions. For many topics covered
in this publication, we have provided
a reference to the Illinois Property
Tax Code for further clarifi cation or
more detail. All of the sections and
parts referenced can be found at
35 ILCS 200/1 et seq.
This publication is issued according
to Section 8-5 of the Property Tax
Code which states, “The depart-ment
shall confer with, advise and
assist local assessment offi cers
relative to the performance of their
duties.” As such, this publication is
provided to help local assessment
offi cials determine the proper valu-ation
method to use when assess-ing
subdivided land for property tax
purposes and to facilitate statewide
uniformity in these assessment
practices. This document is not
all-inclusive and is not intended to
replace the assessor’s professional
judgment.
Contents
Applicable statute .................. 1
Overview ................................ 2
Example ................................. 3
FAQs ...................................... 3
Additional references ............ 4
Applicable Statute
(35 ILCS 200/10-30)
Sec. 10-30. Subdivisions; counties of less than 3,000,000.
(a) In counties with less than 3,000,000 inhabitants, the platting and
subdivision of property into separate lots and the development of the sub-divided
property with streets, sidewalks, curbs, gutters, sewer, water and
utility lines shall not increase the assessed valuation of all or any part of the
property, if:
(1) The property is platted and subdivided in accordance with the
Plat Act;
(2) The platting occurs after January 1, 1978;
(3) At the time of platting the property is in excess of 5 acres; and
(4) At the time of platting the property is vacant or used as a farm
as defi ned in Section 1-60.
(b) Except as provided in subsection (c) of this Section, the assessed
valuation of property so platted and subdivided shall be determined each
year based on the estimated price the property would bring at a fair volun-tary
sale for use by the buyer for the same purposes for which the property
was used when last assessed prior to its platting.
(c) Upon completion of a habitable structure on any lot of subdivided
property, or upon the use of any lot, either alone or in conjunction with any
contiguous property, for any business, commercial or residential purpose, or
upon the initial sale of any platted lot, including a platted lot which is vacant:
(i) the provisions of subsection (b) of this Section shall no longer apply in
determining the assessed valuation of the lot, (ii) each lot shall be assessed
without regard to any provision of this Section, and (iii) the assessed valu-ation
of the remaining property, when next determined, shall be reduced
proportionately to refl ect the exclusion of the property that no longer quali-fi
es for valuation under this Section. Holding or offering a platted lot for initial
sale shall not constitute a use of the lot for business, commercial or residen-tial
purposes unless a habitable structure is situated on the lot or unless the
lot is otherwise used for a business, commercial or residential purpose.
(Source: P.A. 83-837; 88-455; 95-135.)
Remove preferential assessment Assessed value Qualifi cations