Farms and other family businesses are getting some help with estate planning options, due to legislation filed by State Senator Jason Barickman (R-Bloomington) that was recently signed into law.
“The original idea for this legislation came from the challenges many farmers face as they pass their operations on to the next generation,” said Barickman. “Growing up on a family farm, I understand the importance of keeping the operation going for the next generation.”
Senate Bill 47 expands the use of the TODI (Transfer on Death Instrument), which allows for ownership of property to transfer upon the death of the owner. Under current Illinois law, the use of a TODI is only allowed for residential real estate including at least one residential dwelling, but no more than 4 dwellings, and containing 40 acres or less of farm ground.
Senate Bill 47, however, allows a TODI to be used for all real estate, including farm ground.
“This is another bill that was proposed to me by a constituent, who saw the opportunity to use the TODI process to help keep family farms going through multiple generations,” said Barickman. “It’s always great to be able to work with the people of my district to enact changes that will provide real help to Illinoisans.”
Barickman’s legislation was signed into law on Friday, July 9th.