Appellate Court Okays Johnson’s Transfer Tax Referendum

An Illinois Appellate Court panel ruled in favor of Chicago Mayor Brandon Johnson, overturning a Cook County judge’s ruling against the mayor’s signature plan to raise taxes on the sales of properties worth $1 million or more to raise money to fight homelessness, reported CBS News. In February, Cook County Judge Kathleen Burke had ruled the so-called Bring Chicago Home referendum was invalid, and any votes for the proposal should not be counted in the upcoming March 19 primary election.

The ballot measure would ask voters to authorize the City Council to restructure the city’s real estate transfer tax to create a tiered system for taxing the sale of property in Chicago:

• The transfer tax for properties valued at less than $1 million would drop from 0.75% to 0.60%.
• Properties sold for between $1 million and $1.5 million would pay a 2% transfer tax, nearly triple the current rate.
• Properties sold for $1.5 million or more would pay a 3% transfer tax, four times the current rate.

In a statement following the Appellate Court ruling, Johnson said, “This was always a question wisely left to the voters of Chicago. I am pleased that Chicagoans will have the opportunity to weigh in on Bring Chicago Home, which is intended to provide a dedicated revenue source to combat homelessness. I encourage all Chicagoans to make their voices heard by voting in this election.”