11/17/2016

By: Brittany Flaherty Theis

In January 2016, in Carle Foundation v. Cunningham Township, the Illinois Appellate Court reversed the Circuit Court of Champaign County and ruled that Section 15-86 of the Illinois Property Tax Code (the “Code”) was unconstitutional and unenforceable from its inception. Specifically, the Illinois Appellate Court held that Section 15-86 went beyond the authority granted to the Illinois General Assembly by the Illinois Constitution by bestowing a charitable exemption from property taxes upon hospital entities if the value of qualifying services that the hospital entity provided in the year for which it seeks an exemption equals or exceeds the hospital entity’s estimated property tax liability for that year. A prior News & Knowledge blog post explains the Illinois Appellate Court’s decision and can be found here.

Both the Carle Foundation and the Illinois Department of Revenue filed petitions for leave to appeal with the Illinois Supreme Court. In May 2016, the Illinois Supreme Court agreed to take the appeal. The Carle Foundation filed its Appellant’s Brief with the Illinois Supreme Court.  On the same day, the Illinois Health and Hospital Association and the American Hospital Association each filed amicus briefs with the court arguing in support of the constitutionality of Section 15-86.

The attorneys at Whitt Law are monitoring the developments in the Carle case. Whitt Law’s attorneys have experience advocating for taxing districts at every stage of the property tax appeal process. Please contact Whitt Law Partner Josh Whitt if you have questions regarding Whitt Law’s ability to represent your taxing district, or Attorney Brittany Flaherty Theis if you have questions regarding the status of the Carle case.

This blog/website is made available for educational purposes only. It is not intended to provide specific legal advice to your individual circumstances or legal questions. You acknowledge that your reading of this blog site does not establish an attorney-client relationship between you and the blog/website host or the law firm, or any of the attorneys with whom the host is affiliated. This blog/website should not be used as a substitute for seeking competent legal advice from a licensed professional attorney in your state. Readers of this information should not act upon any information contained on this website without seeking professional counsel.