Illinois property taxes are being lowered in order to save state taxpayers money.
The state is reducing the amount of property tax owed on property worth between $5,000 and $10,000.
The tax rate is also being reduced to 0.75% on residential property valued between $500,000 to $1 million.
The reduction comes as Illinois faces a historic $16 billion budget shortfall and the state’s finances are in the red.
Illinois state officials said they were working on a plan to reduce the amount property taxes owed on properties worth between the $5 million and $15 million.
“We’ve been working on it,” said Illinois Treasurer Joe DiVincenzo.
The state has already reduced the amount owed on the property value of $1,000,000-$5,500,00.
As of June 30, Illinois had $6.3 billion in unpaid property taxes, or about 15% of the state budget.
Diva, a real estate investment trust, has held on to more than $10 million in unclaimed assets from the Illinois property tax reduction.
Property owners with less than $1.5 million in assets will have their property tax bill reduced.
State Treasurer Joe diVincenzio said the reduced amount is a good thing for taxpayers because it means that the state can continue to provide for those who have fallen behind.
We have to do what we can to make sure that they’re not left behind, he said.