Should Rich Non-Profits Pay Property Tax?

Illinois' debt is teetering on the brink junk status and, while it's struggling, rich non-profits like Northwestern University continue to buy up expensive land while paying no property taxes.

1 minute read

July 10, 2017, 6:00 AM PDT

By Casey Brazeal @northandclark


University of Chicago

Henryk Sadura / Shutterstock

Property taxes in Illinois present a contentious issue.  They have (in part) caused the state to go without a budget since the summer of 2015. David M. Simon argues in the Chicago Tribune that it's time for rich non-profits to contribute their share by losing their property tax exemption."Wealthy nonprofits with expensive real estate use and benefit from the same law enforcement, fire protection and other basic services as other property owners. These nonprofits may not principally use their real estate to make money, but neither do most families," Simon writes.

Poor Illinoisans pay taxes on their property, and poor renters have tax burden passed onto them by their landlords, therefore, argues Simon, "It is inexcusable that the University of Chicago, with its $12 billion in investment assets, is exempt from taxes on its 217 acres in Hyde Park. Or that Northwestern University, with its $10 billion endowment, is exempt from taxes."  The two institutions take up hundreds of acres of valuable land and Simon thinks they could stand to pay their share.

Tuesday, June 27, 2017 in Chicago Tribune

Young Professional

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban and Environmental Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban and Environmental Planner

Get top-rated, practical training for planners

"Planetizen federal action tracker" logo superimposed over black and white image of US Capitol dome.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

October 28, 2026 - Zachary Whalen

A car drives through a puddle, making a large splash. Rain pours down.

California plans to bury El Niño’s downpour

If the state plays its cards right, it may be able to store a billion acre-feet of El Niño’s water in aquifers.

October 28, 2026 - Grist

A pencil rendering of Foundry Park, which shows skyscrapers and public green spaces.

Chicago breaks ground on $3 billion megadevelopment

The new neighborhood, titled Foundry Park, will one day host 3,700 residences.

October 23, 2026 - Chicago Sun Times

A rendering of a high speed rain station in California, with wide platforms and a sleep train with yellow highlights.

California High-Speed Rail Authority CEO resigns after $600,000 scandal

Under Ian Choudri, the authority used taxpayer dollars to fund first class flights and trips to nightclubs.

5 hours ago - Cal Matters

 A bridge stretches across the Missouri River at Chamberlain, South Dakota.

Want to study the Missouri River? Soon, you may need unanimous approval from 10 states

Legislation would require 10 governors’ permission to study or build projects moving water outside the basin.

7 hours ago - South Dakota Searchlight

Lake Powell with much of the water evaporated.

Desperate measures: Advocates weigh draining Lake Powell to fill Colorado River

Draining the reservoir could reduce evaporation losses by a couple hundred thousand acre-feet.

October 30 - Yale Environment 360