Glossary
Property tax, translated.
Property-tax terminology can vary by jurisdiction. These definitions explain the terms FairHome uses, with Illinois-specific meaning identified where it matters.
- Assessed Value
- The value assigned to a property by the assessing authority for property-tax purposes. It is not necessarily the same as market value, and the relationship between assessed value and market value depends on the jurisdiction.
- Market Value
- An estimate of what a property would sell for in an arm’s-length transaction under normal market conditions. How market value relates to assessed value depends on local assessment rules.
- Equalization Factor
- In Illinois, the state equalization factor is applied to local assessments as part of the equalization process. It is commonly called the multiplier.
- Equalized Assessed Value (EAV)
- In Illinois, EAV is the assessed value after the applicable state equalization factor is applied. Qualified exemptions are deducted afterward when determining the value used to calculate an individual property tax bill.
- Taxable EAV
- The portion of equalized assessed value that remains after applicable exemptions are deducted. This is the value to which the applicable property-tax rates are applied.
- Exemption
- A property-tax relief provision with specific eligibility requirements. In Illinois, many homestead exemptions reduce EAV, but the exact benefit and requirements depend on the exemption and tax year.
- Tax Code
- A jurisdiction-specific identifier used to associate a property with the applicable combination of taxing districts or tax-rate area. Its exact format and meaning depend on the local tax system.
- Composite Tax Rate
- The combined property-tax rate produced by the taxing districts that apply to a property for a given tax year or payable year, depending on the jurisdiction’s terminology.
- Comparable Property
- Another property with characteristics relevant enough to be considered as evidence in an assessment review. Proximity alone does not make a property a useful comparable.
- Uniformity
- The principle that similarly situated properties should be assessed consistently. A uniformity argument generally compares a property’s assessment with relevant comparable properties.
- Overvaluation
- An appeal ground asserting that a property’s assessment reflects a value higher than the value supported by the applicable evidence and assessment rules.
- Appeal
- A formal challenge to a property assessment through the process provided by the applicable jurisdiction. An assessment appeal does not simply challenge the tax rate or the amount shown on a tax bill.
- Assessment Year
- The year to which a property assessment applies. This is distinct from the year in which the resulting tax bill may be payable.
- Tax Year
- The year to which a property-tax obligation is attributed. In Illinois property-tax usage, tax year refers to the year of assessment.
- Payable Year
- The year in which a property-tax bill for a prior tax or assessment year is due. In Illinois, property taxes are generally paid in the year after the assessment year.
- PIN
- Property Index Number — a parcel identifier used by a county. In Cook County, the PIN is a 14-digit identifier.
- Assessor
- The local assessing official or office responsible for determining or administering property assessments. The available review and appeal path depends on the jurisdiction.
- Board of Review
- In Illinois, a county Board of Review reviews property assessments and hears certain assessment complaints or appeals under the applicable county process.
- PTAB
- The Illinois Property Tax Appeal Board, a state-level administrative body that hears eligible property-tax assessment appeals after a county Board of Review decision.
See these terms in the context of your property.
Start a property check to review available official property information and what it means.