Here’s why local homeowners are rushing to pay property taxes
Those people who prepaid property tax bills before the calendar turned to 2018 will be able to deduct those taxes on their 2017 federal income tax return due by April 15, according to a report from the Illinois News Network.
The INN reported Republican U.S. Rep. Peter Roskam's office had received word from the U.S. Treasury Department this week indicating taxpayers in Illinois that filed before Jan. 1 would still be able to deduct their entire property tax burden.
“Illinoisans will be able to deduct their prepaid 2017 property taxes,” Roskam spokeswoman Veronica Vera told INN.
Under the tax reform passed by Congress and signed by President Donald Trump, there is now a $10,000 cap on the amount of state and local taxes people can deduct on their federal returns, beginning in 2018. Previously, there was no cap, so a homeowner with a $15,000 property tax bill who paid $20,000 in income tax could deduct $35,000 on his or her federal returns.
In Illinois, property tax bills are sent out in the spring are for the previous year's tax cycle.
Before the 2017 ended, many residents in St. Clair and Madison counties rushed to treasurers' offices to pre-pay property taxes.
Madison County Treasurer Chris Slusser said his office received about $7.5 million in prepaid property taxes for more than 1,300 parcels. Typically his office has about $500,000 in prepaid property taxes.
Figures for St. Clair County were not available Thursday.