Justia Tax Law Opinion Summaries

Articles Posted in Illinois Supreme Court
The regional board of school trustees dissolved a school district, partially located in Montgomery County, and annexed it to a district previously located entirely in Sangamon County. About 99.7 percent of the reconstituted district is in Sangamon County and the voters of that county had approved a referendum under the Property Tax Extension Limitation Law (PTELL)(35 ILCS 200/18â185); the voters in Montgomery County had not. A taxing district subject to PTELL may not ordinarily extend taxes at a rate that exceeds the previous yearâs extension by more than 5%, or the percentage increase in the Consumer Price Index, whichever is less, without referendum approval. The district, wanting to issue bonds to finance improvements, sought a declaration that PTELL did not apply. Reversing the trial and appellate courts, the supreme court held that the entire district remains subject to the PTELL.