The Morgan County property tax multiplier has been set at 1.0233 by the Illinois Department of Revenue.
The property assessment equalization factor, often called the “multiplier” is the method used to achieve uniform property assessments among counties, as required by law. This equalization is particularly important because some of the state’s 6,600 local taxing districts overlap into two or more counties (e.g. school districts, junior college districts, fire protection districts). IDOR says if there were no equalization among counties, substantial inequities among taxpayers with comparable properties would result.
Under a law passed in 1975, property in Illinois should be assessed at one-third of its market value. Farm property is assessed differently, with farm home sites and dwellings subject to regular assessing and equalization procedures, but with farmland assessed at one-third of its agriculture economic value. Farmland is not subject to the state equalization factor.
Assessments in Morgan County are at 32.57% of market value, based on sales of properties in 2017, 2018, and 2019. The equalization factor currently being assigned is for 2020 taxes, payable in 2021. Last year’s equalization factor for the county was 1.0240. The final assessment equalization factor was issued after a public hearing on the tentative factor. The tentative factor issued in January was 1.
A change in the equalization factor does not mean total property tax bills will increase or decrease. Tax bills are determined by local taxing bodies when they request money each year to provide services to local citizens, often called the tax levy. If the amount requested by local taxing districts is not greater than the amount received in the previous year, then total property taxes will not increase even if assessments increase.
The equalization factor is determined annually for each county by comparing the price of individual properties sold over the past three years to the assessed value placed on those properties by the county assessor. If this three-year average level of assessment is one-third of the market value, the equalization factor will be 1. If the average level of assessment is greater than one-third of market value, the equalization factor will be less than 1. And if the average level of assessment is less than one-third of market value, the equalization factor will be greater than 1. In Morgan County’s case, the average level of assessment is less than one-third of the market value.
The assessed value of an individual property determines what portion of the tax burden a specific taxpayer will assume. The multiplier helps to determine the Equalized Assessed Value or EAV of a home. That individual’s portion of tax responsibility is not changed by the multiplier but rather by tax levies proposed by taxing bodies.