Opinion ID: 2529941
Heading Depth: 1
Heading Rank: 3

Heading: Tax Valuation Objection Cases

Text: The tax valuation objection cases were all filed under sections 23-10 and 23-15 of the Code, which allow taxpayers to contest the real estate tax assessment placed on their property for any one tax year by exhausting their administrative remedies and filing actions in the circuit court against the collector. 35 ILCS 200/23-10, 23-15 (West 2006). On December 13, 2000, GM filed its complaint objecting to the 1999 tax year assessment on a parcel of property in Cook County. Similarly, on April 25, 2005, Newcastle and SBC filed three separate complaints objecting to the 2003 tax year assessments on three different parcels of property in Cook County. All four tax valuation cases were settled without trial pursuant to section 23-30 of the Code (35 ILCS 200/23-30 (West 2006)). On June 9, 2006, the trial court entered an agreed judgment order in GM's case which required the collector to refund overpaid and incorrect or illegal taxes in the total amount of $965,021.61, plus interest. In November 2006, similar agreed judgment orders were entered in the other three tax valuation cases. The collector was required to refund to Newcastle a principal tax refund of $50,394.45, while SBC was entitled to a refund of $16,760.72 on one parcel, and $25,967.11 on the second parcel. The three agreed judgment orders provided for the principal tax refund amounts plus statutory interest, but they did not specify a percentage rate of interest to be paid. The collector issued refunds to GM, Newcastle, and SBC, paying the entire principal that was owed and statutory interest on the refunds at the lower CPI rate. Thereafter, GM, Newcastle, and SBC all filed motions to enforce judgment, requesting that the trial court enter orders allowing them to receive interest at a rate of 5% for the entire period the tax payments were held because that was the rate permitted under section 23-20 when plaintiffs paid their respective taxes in protest. [1] On April 17, 2007, the circuit court ordered the collector to pay interest to Newcastle and SBC on the refunded taxes at a rate of 5% from the date the taxes were paid through December 31, 2005, and interest based on the lower CPI rate from January 1, 2006, forward. On July 20, 2007, the court denied the collector's motion to reconsider and reverse its ruling of April 17, 2007. On August 13, 2007, the collector filed notices of appeal from the circuit court orders dated April 17, 2007, and July 20, 2007, and also filed motions in the circuit court to stay the payment of the additional statutory interest under the Code pending appeal. The collector requested in her notices of appeal that the court vacate that portion of the trial court's orders which compelled her to pay interest at the higher 5% rate through December 31, 2005. Thereafter, on August 20, 2007, the trial court entered the following identical orders in the Newcastle and SBC cases: 1. The Motion for Stay is granted. The portion of the Court's order of April 17, 2007, ordering the [collector] to pay interest on the property tax refund ordered in this matter at the rate of 5% from the date the taxes were paid through December 31, 2005 is stayed pending the outcome of any appeal filed in this matter. 2. That Plaintiff is entitled to the payment of judgment interest at the rate of 6% per annum pursuant to [section 2-1301 of the Code of Civil Procedure] on the amount of interest stayed and not paid to Plaintiff pending the outcome of any appeal, from the date of final judgment ordering a property tax refund in this matter, through the date the additional interest is paid to Plaintiff. There is no indication that the collector objected to the award of judgment interest by the trial court, and she did not file any motion to reconsider the orders of August 20, 2007. Additionally, the collector did not amend her notices of appeal dated August 13, 2007, or file additional notices of appeal, to incorporate the issue of the trial court's award of judgment interest to SBC and Newcastle. On June 15, 2007, the trial court entered an order in GM's case requiring the collector to pay 5% interest from the date of payment of taxes by GM through January 1, 2006. The collector did not seek a stay in GM's case, and no order was entered granting judgment interest under section 2-1301.