Hussein v. Cook County Assessor's Office
2017 IL App (1st) 161184
| Ill. App. Ct. | 2017Background
- In 2013 Illinois enacted 35 ILCS 200/9-275, allowing the Cook County Assessor to record liens for unpaid taxes, interest, and penalties where a taxpayer received erroneous homestead exemptions (generally 3+ erroneous exemptions within the prior 6 assessment years).
- The Assessor sent notices in October 2014 asserting erroneous homestead exemptions on four condominium units owned by Ribhieh Hussein for tax years 2007–2013 and demanding back taxes, 10% interest per annum, and 50% penalties.
- At the administrative hearing Hussein stipulated she received the exemptions and paid tax bills, but testified she did not apply for exemptions, did not live in the units after 1992, and first learned of the exemptions from the 2014 notices.
- The administrative law judge found Hussein failed to prove the exemptions resulted from an Assessor clerical error and entered an order for back taxes, interest, and penalties; the circuit court affirmed.
- On appeal the court addressed (1) allocation of the burden to prove clerical error/omission and (2) whether Hussein met that burden; the court also sua sponte reviewed whether awarding 2007 liabilities exceeded statutory authority.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Who bears burden to prove clerical error/omission under §9-275(h)? | Hussein: Assessor must prove exemptions were not clerical errors before collecting interest/penalties. | Assessor: statute does not require it to prove absence of clerical error; clerical provision is an affirmative defense for taxpayer. | Court: Burden rests on taxpayer to prove clerical error/omission by preponderance. |
| Did Hussein prove clerical error/omission? | Hussein: Testimony that she never applied for exemptions, paid bills, and did not know exemptions existed suffices. | Assessor: Plaintiff’s testimony does not establish Assessor error; could be carryover or plaintiff’s failure to report/correct. | Court: Hussein failed to prove clerical error; agency finding not against manifest weight. |
| Were liabilities for tax year 2007 authorized by §9-275? | Hussein: (argued in part) relief sought generally; 2007 included in admin award. | Assessor: sought back taxes for listed years including 2007. | Court: Award for 2007 exceeded statutory look-back (6 years before 2014) and was void; vacated that portion. |
Key Cases Cited
- Exelon Corp. v. Department of Revenue, 234 Ill. 2d 266 (agency decision reviewed, deference principles)
- Delgado v. Board of Election Commissioners, 224 Ill. 2d 481 (courts must vacate void administrative orders)
- Christenson v. Rincker, 288 Ill. App. 3d 185 (party asserting affirmative defense bears burden of proof)
- Nevious v. Bauer, 281 Ill. App. 3d 911 (same)
- Gibson v. State Farm Mut. Auto. Ins. Co., 125 Ill. App. 3d 142 (general rule on burden for affirmative matters)
- Southwest Fed. Sav. & Loan Ass’n v. Cosmopolitan Nat’l Bank, 23 Ill. App. 2d 174 (party with access to proof should bear burden of producing it)