Who pays the property taxes on an Illinois battery project?

Confirm which assessment rules apply

Division 22 of the Property Tax Code applies to assessment years 2026 through 2040 and excludes Cook County. Its commercial storage definition addresses systems primarily storing energy for wholesale or retail sale, rather than primarily for later consumption on the same property. Standalone systems and systems tied to generation can be covered.

Ask the project team to describe the intended operation. Is this a grid project, a battery added to solar, or backup for your own building? Have the county assessment office confirm how the actual system and location would be treated.

The Department of Revenue explains that assessment year 2026 taxes are paid in 2027. Keep the assessment year and payment year separate when discussing when the company’s obligation starts.

If someone says that a project is exempt, ask what is exempt, under which provision and for how long. An exclusion from this particular division does not, by itself, mean that no property tax is due.

Review the survey before acknowledging the tax parcel

Section 10-935 requires the system owner to pay for a registered surveyor’s metes-and-bounds survey and provide it to the landowner and chief county assessment officer. It includes access routes under the system owner’s exclusive control; land held for future development is excluded from the assessment project area.

The section provides for a separate parcel identification number for assessment purposes following the survey and the landowner’s agreed acknowledgment. Ask to see the proposed acknowledgment and survey together before signing.

Compare that drawing with your lease exhibits. Does it show the same entrance, equipment area and rights? Are shared roads being described accurately? Ask the company to explain any difference between the assessment area and the land reserved under the agreement.

A tax parcel number serves an assessment purpose. It does not answer what rights you have granted in the lease, whether a proposed lot division is approved or whether construction may begin. Have those questions reviewed separately.

Ask when you will receive the new parcel number and how to check the corresponding record. Keep the survey, acknowledgment and parcel information with your agreement.

Require a clear process for bills and proof of payment

Section 10-940 makes the commercial system owner liable for the specified real estate taxes. It also allows the landowner to pay unpaid tax on the system parcel before tax-sale proceedings begin. Do not treat the company’s statutory responsibility as a reason to stop checking payment records.

Ask who receives the bills and who gives you proof they were paid. Would you get a paid receipt each year? Who checks that the mailing address remains current after a project sale?

Have your adviser review how the agreement handles a missed payment. Who must notify whom, how quickly must it be corrected, and what happens if you pay to protect the property? Make the reimbursement process clear before it is needed.

Use the actual company name and parcel number when checking records. A statement that “taxes are handled” is less useful than a receipt showing the correct assessment parcel and tax year.

Ask the assessment office about the record for the land you retain. Will your existing bill change, and which portions are still billed to you? Keep the project bill and your remaining-property bill distinct.

An assessment value is not a lease payment or a tax bill

Revenue’s guide explains a capacity-based valuation with trending and depreciation. It also says buildings and substations are valued separately. Ask for the proposed assessment calculation and an explanation of what is outside it.

Compare the estimate with the design being offered. What rated energy capacity is assumed? Is the system tied to generation? Would an expansion, replacement or added building change the calculation?

Ask separately for the expected annual tax bill. A valuation figure alone does not tell you the amount due. Have the county explain the steps from value to the actual bill.

Keep land payments separate in the offer. What would you receive during studies, construction and operation? Would any tax charge be deducted from those amounts? Have your adviser review the payment clause alongside the tax clause.

If the company expects a tax abatement, request the actual decision and its conditions. Do not compare payments on the assumption that a hoped-for reduction has already been granted.

Keep farmland and removal records for the end of the project

Section 10-945 provides a return to farmland assessment for qualifying previously assessed farmland after the system is removed and the property returns to farm use. Its conditions matter; the end of a lease alone does not establish completion.

Retain the assessment record from before construction. Ask the county what evidence it would need when removal is complete and farming resumes.

Compare that process with the removal plan. Who removes equipment, restores access and repairs the soil or drainage? When would the work be inspected, and what would you receive as evidence of completion?

Ask how unfinished work and bills are handled if the operator changes or stops operating. Have the land agreement, removal duties and tax payment provisions reviewed together.

Tell us about the proposed use of your land

Start with your name, email and phone, then the property location. Acreage and the existing parcel number are optional. Mention whether the offer is for a lease or sale and whether the battery would operate alone or with generation.

If you already have a survey, acknowledgment or tax estimate, tell us what it covers and whether there is a deadline. You can begin a conversation before all the records are assembled.

An inquiry does not acknowledge an assessment parcel, grant land rights or authorize a filing or construction. Those steps need their own review.