If you're recording a deed in Illinois, there's a good chance you'll also need to fill out a form called PTAX-203. This page explains what it is, when you need it, and when you might be able to skip the tax (even if you still have to file the paperwork).
The short version:
Almost every Illinois deed needs a PTAX-203 form attached when it's recorded — even a $0 gift between family members. The form itself is free to file; it's just paperwork that tells the county whether tax is owed.
What Is PTAX-203?
PTAX-203, officially called the Illinois Real Estate Transfer Declaration, is a form the state uses to keep track of property sales and figure out whether transfer tax is owed on a deed.
It asks for basic details: the property's address and legal description, who's buying and selling, how much (if anything) was paid, and whether the transfer qualifies for an exemption from tax.
The county and the Illinois Department of Revenue also use this information for other purposes, like tracking property values across the state. That's part of why it's required so broadly, even for transfers where no tax ends up being due.
Do You Need to File It?
In almost every case, yes. Illinois requires either:
- a completed PTAX-203 form filed with the deed, or
- a written exemption noted directly on the face of the deed, for the specific exemptions that allow this shortcut
Most exemptions still require the full PTAX-203 form to be filed, even though no tax will be charged. Only a smaller handful of exemption categories let you skip the form entirely and just write the exemption on the deed itself.
Common mix-up:
"This transfer is tax-exempt" and "I don't need to file PTAX-203" are two different things. Most exempt transfers still need the form — they just won't owe any money.
Common Exemptions That Apply to Family Transfers
Illinois law lists a number of exempt transfer types. The ones that come up most often for the situations covered on this site include:
- Transfers where the amount paid is $100 or less — this covers most family gifts
- Transfers between spouses
- Transfers to or from a government body or a qualifying charity
- Deeds that simply confirm or correct a title that's already recorded
- Deeds issued to a lender through foreclosure or in place of foreclosure
If your situation doesn't clearly match one of these, it's worth checking the full exemption list in the PTAX-203 instructions, or asking your county recorder's office, before assuming you're exempt.
How the Tax Is Calculated (If You Owe Any)
If your transfer isn't exempt, the form walks through a short calculation: it takes the amount paid, subtracts anything that doesn't count (like certain personal property included in the sale), and applies the tax rate to what's left.
The combined state and county rate is $0.75 for every $500 of value. Some cities, including Chicago, charge their own additional transfer tax on top of that, so it's worth checking your specific city's rules if the property is in one of them.
Filing the Form
You can fill out a paper PTAX-203 and bring it with your deed, or in many counties, complete it electronically through the state's MyDec online system before you go to record. Ask your county recorder's office whether they use MyDec, since it often speeds up the process.
If your county requires a related form (like a Plat Act Affidavit in some counties), that's usually a separate document from PTAX-203, so double-check what your specific county expects.
What Happens If You Skip It?
The county recorder will generally reject your deed and won't record it until the PTAX-203 form, or a proper exemption notation, is included. This is one of the most common reasons a self-filed Illinois deed gets sent back.
How This Fits Into Your Illinois Quitclaim Deed
When you're preparing your deed, decide early on whether your transfer is exempt and, if so, which exemption applies. That'll tell you whether you need the full PTAX-203 form or can simply note the exemption on the deed itself.
See the main Illinois Quitclaim Deed Instructions page for the complete step-by-step process.
Illinois Transfer Declaration FAQ
What is Illinois Form PTAX-203?
PTAX-203 is Illinois's Real Estate Transfer Declaration. It tells the county the sale price (or that there wasn't one), calculates any transfer tax owed, and is required with nearly every deed.
Do I need to file PTAX-203 for a gift between family members?
Usually yes, even though no tax is likely owed. Most exemptions still require filing the form and marking the applicable exemption box, rather than skipping the form entirely.
Can I file the Illinois PTAX-203 online?
Many Illinois counties participate in the state's MyDec system, which lets you complete and submit the PTAX-203 electronically before recording.
What happens if I skip the PTAX-203 form?
The county recorder will generally reject the deed and won't record it until the form or a proper exemption notation is included.