Residential Property Tax Relief Programs

[X] The Kent County Levy Court exempts all real property owned by citizens over the age of 65 from real estate taxes. The exemption amount in New Castle County is up to $32,000. The exemption amount in Sussex County is up to $12,500.

[X] For the purposes of this benefit income is defined as Missouri adjusted income and increased to reflect the following: social security and railroad retirement; veteran payments and benefits unless the claimant or spouse is a 100% disabled as a result of military service; all other public and private pensions and annuities; public relief, public assistance, and unemployment benefits received; SSI, TANF and/or child support payments received; non-business losses; wages, dividends, and interest; and rental income. “Disabled” is defined as the inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than twelve months. A claimant shall not be required to be gainfully employed prior to such disability to qualify for a property tax credit. 2008 Missouri S711, effective 28 August 2008, increased the income limit to $30,000 for homeowners. For renters the income limit remains $27,500. This bill also increased the income exemption for married homeowners from $2,000 to $4,000. For married renters the exemptions remains at $2,000. The bill increased the maximum benefit for homeowners to $1,000. These amounts are used to determine eligible for the 2008 calendar year. A claimant shall not be allowed a property tax credit if the claimant filed a valid claim for a credit Homestead Preservation tax credit in the year following the year for which the property tax credit is claimed.

[X] The benefit base is the amount of property tax based on the 1 April 2007 assessment. Income limits and tax/rent limits are adjusted annually. If rent includes heat, 15% of the rent paid is deducted before benefit is determined.

[X] Applicants can not receive both the Missouri Property Tax Credit Claim and the Homestead Preservation Credit.

[X] The surviving spouse will only receive refund if they remain unmarried. The income limit will change every year based on cost of living, determined by IRS using consumer price index. Income does not include disability payments or 50% of social security income. Beginning in 1.1.2007, for taxes paid in 2007 to be refunded in 2008, 50% of social security benefits are now excluded when determining income. Properties in excess of $350,000 are no longer eligible. The calculation of property taxes for renters was reduced from 20% to 15%.

[X] All income requirements are adjusted annually since 2000 for inflation using the Consumer Price Index for all Urban Consumers. Household income means the total federal adjusted gross income (AGI) plus and Nebraska adjustments including railroad or retirement benefits to the extent excluded from in the computation of the agi.

[X] The deferral becomes payable when the resident passes or the residence is sold.

[X] Maximum benefit and income levels are adjusted each year by the percentage increase in the Consumer Price Index (CPI) from 1999. Wealth limits are adjusted annually by the percentage change in the average assessed value of homes in the state since 2004. Real estate taxes include taxes levied on the taxpayer’s residence including any water and sewer debt charges. In communities not assessing water and sewer charges, 50% of water and sewer charges paid by the taxpayer is added to the amount of real estate taxes paid. Rent constituting real estate tax payments is calculated as 25% of total rent paid

[X] Excess levies are those additional property tax levies above the limits that are approved by vote of the people. Local school districts have no regular levy authority (although they are allocated funds from the statewide school levy) so they receive a substantial portion of their funding from voter-approved excess levies. Excess levies must be authorized by a 60% majority of the voters, except for school levies which only require a simple majority, and such levies are not subject to any of the limitations. If the person subsequently fails to qualify only for one year because of high income, this same valuation must be used upon requalification. If the person fails to qualify for more than one year in succession because of high income or fails to qualify for any other reason, the valuation upon requalification is the assessed value on January 1st of the assessment year in which the person re-qualifies.

[X] The base amount is set by the general appropriations act. The state reimburses local jurisdiction for the state program. Local option programs are funded locally.

[X] The statute was amended in 2009, effective retroactively to 1/1/2008, to assure that the assessment freeze set out in Amendment 79 is applied to the lower assessed value.

[X] An applicant can receive either an elderly or disabled exemption but cannot receive both.

[X] Income levels are adjusted annually by the gross domestic product price deflator computed for the 2nd quarter of the calendar year by the bureau of economic analysis of the United States department of commerce. Totally disabled means the inability to engage in any substantial gainful employment by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted or is reasonably expected to last for a continuous period of not less than 12 months. A person who is eligible to file a claim for credit for property taxes due with a household income in the lowest bracket who has an unpaid special assessment levied against the homestead may file a claim for a special assessment credit with the county treasurer. The claim filed by the claimant constitutes a claim for credit of an amount equal to the actual amount due upon the unpaid special assessment, plus interest, payable during the fiscal year for which the claim is filed against the homestead of the claimant.

[X] The income thresholds for the program refer to the applicant's federal adjusted gross income. Program may be used in lieu of, not in addition, any other homestead exemption. This exemption does not apply to improvements or additional land added to the homestead after its base-year assessment.

[X] For renters, property taxes are assumed to be 20% of rent if heat is included or 25% of rent if heat is not included in the rent. In computing household income, a claimant may deduct $250 for each dependent living with the claimant.

[X] Counties have the option of increasing this amount. In Hawaii County, the exemption is $40,000. In the Kauai County, it is $48,000. In the City and County of Honolulu, it is $80,000. In Maui County, it is $200,000. Properties that receive exemptions are still liable for their respective county's per parcel minimum real property tax. In Kauai, the minimum tax is $25; in Maui, it is $60; in Hawaii, it is $100; and in Honolulu, it is $100.

[X] Income is defined as federal adjusted gross income, less deductions for certain medical and funeral expenses, business losses, early withdrawal penalties, and alimony. Income also includes social security and similar benefits, as well as most non-taxable income. The income limit was increased to $40,000 in 2008. For this program and the circuit breaker tax reduction, a claimant must be an owner of the homestead and as of 1 January of year which claimant applies for the deferral, must be: (a) over 65 years old; (b) a fatherless or motherless minor; (c) a widow or widower; (d) a qualified disabled person or veteran; (e) a former POW; or (f) blind. A disabled person is one who is recognized as disabled by the Social Security Administration, the Railroad Retirement board, or the Office of Management and Budget. A disabled veteran of any war engaged in by the United States is one whose disability is recognized as a service-connected disability of a degree of 10% or more, or who has a pension for non-service-connected disabilities. A deferral of property tax payments shall terminate on the earlier of: (a) voluntary payment of the full amount of deferred tax and interest to the state tax commission; (b) the death of the qualified claimant. In the case of more than one qualified claimant, the death of the last surviving qualified claimant; (c) a sale or other transfer of title to the property or any part of the property except a transfer of title to a surviving spouse of a deceased qualified claimant; (d) the property no longer qualifies for the exemption due to residential improvements; (e) a determination by the state tax commission that the deferral of property tax payments was erroneously granted to a person who is not a qualified claimant or in regard to property that is not qualified property.

[X] Towns in this program include Smithfield, Lincoln, Burrillville, Newport, Cumberland, and Bristol. Because there are multiple local programs, there are two different types of variation in benefits (i.e., no variation, and varies by income).

[X] Since residents can claim either a property tax or sales tax refund whichever is greater, the maximum sales tax refund in the lowest bracket for single households is $258 and $581 for multi-member households. Income eligibility levels were increased, Law 2008, chap. 59 §4 and 5, effective 1 July 2008.

[X] “Disabled” means a person who has been determined to be blind or permanently disabled with medical improvement not expected or who is determined to have a permanent total disability pursuant to the Workers' Compensation Act. The limitation of value does not apply to a change in valuation resulting from any physical improvements made to the property during the year immediately prior to the tax year or a change in the permitted use or zoning of the property during the year immediately prior to the tax year; or a residential property in the 1st tax year that is valued for property taxation purposes.

[X] To receive this tax credit, taxpayers must have paid in full their property tax bill at the end of the tax year for which the credit was reported.

[X] Property owned jointly by a husband and wife and property owned in fee simple by either spouse is eligible for this exemption in full, as long as either spouse fulfills the age or disability requirement. For all other jointly owned property, the amount of the exemption is determined on the basis of each owner's qualifications and pro rata share of the property.

[X] Towns in this program include Portsmouth, Middleton, Coventry, Bristol, Warren, Narragansett, and East Greenwich.

[X] Qualifying income is defined as adjusted gross income and tax-exempt interest, plus any other income not included in adjusted gross income. The income thresholds are indexed to the annual inflation adjustment in Social Security income, with a base year of 1983.

[X] Income levels are adjusted annually by the gross domestic product price deflator computed for the 2nd quarter of the calendar year by the bureau of economic analysis of the United States department of commerce. Totally disabled means the inability to engage in any substantial gainful employment by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted or is reasonably expected to last for a continuous period of not less than 12 months. A person who is eligible to file a claim for credit for property taxes due with a household income in the lowest bracket who has an unpaid special assessment levied against the homestead may file a claim for a special assessment credit with the county treasurer. The claim filed by the claimant constitutes a claim for credit of an amount equal to the actual amount due upon the unpaid special assessment, plus interest, payable during the fiscal year for which the claim is filed against the homestead of the claimant.

[X] The income thresholds for the program refer to the applicant's federal adjusted gross income. This program is may be used in the place of, but not in addition, to any other homestead exemption. This exemption does not apply to improvements or additional land added to the homestead after its base-year assessment.

[X] For renters, property taxes are assumed to be 20% of rent if heat is included or 25% of rent if heat is not included in the rent. In computing household income, a claimant may deduct $500 for each dependent living with the claimant.

[X] Counties have the option of increasing this amount. In Hawaii County, the exemption is $40,000. In the Kauai County, it is $48,000. In the City and County of Honolulu, it is $80,000. In Maui County, it is $200,000. Properties that receive exemptions are still liable for their respective county's per parcel minimum real property tax. In Kauai, the minimum tax is $25; in Maui, it is $60; in Hawaii, it is $100; and in Honolulu, it is $100.

[X] The property taxes and interest that are not collected may not exceed the value of the property upon which the taxes are imposed. Qualification for this program makes one ineligible for the Property and Sales Tax Refund program.

[X] Loans will bear an interest at a rate equal to the prime lending rate at the time the rate is set plus 1%, as reported by the federal reserve board in federal reserve statistical release H. 15. Any previous loans under this program and loans under the housing rehabilitation loan program, also administered by WHEDA, are excluded from this limitation. The interest rate for 2009 loans is set at 6%.

[X] Since residents can claim either a property tax or sales tax refund whichever is greater, the maximum sales tax refund in the lowest bracket for single households is $258 and $581 for multi-member households.

[X] Gross household income is total household income plus all non-cash business expenses such as depreciation, amortization, depletion, and net operating losses. Total household income includes social security; interest/dividends; pensions/annuities; Supplemental Security Income (SSI); State Supplemental Program (SSP); Aid to the Totally Disabled (ATD); rental income/loss; gain/loss from sale of assets; wages, alimony, life insurance, unemployment insurance, worker's compensation for temporary disability, and public assistance and relief. In addition, participants may deduct the following amounts from their total household income: IRA contributions deduction, student loan interest deduction, medical Savings Account (MSA) deduction, moving expenses, and alimony paid from the total household income.

[X] No person who receives a property tax refund or a retail sales and service tax refund or a real property tax assessment freeze may be denied a property tax reduction under this chapter because of such refund or freeze.

[X] To receive this tax credit, taxpayers must have paid in full their property tax bill at the end of the tax year for which the credit was reported.

[X] Property owned jointly by a husband and wife and property owned in fee simple by either spouse is eligible for this exemption in full, as long as either spouse fulfills the age or disability requirement. For all other jointly owned property, the amount of the exemption is determined on the basis of each owner's qualifications and pro rata share of the property.

[X] This program was repealed effective 7 April 2009.

[X] Volunteer senior citizens cannot receive a credit for their services at an hourly rate higher than the state’s current minimum wage. This credit is given in addition to any property tax exemption or abatement to which the individual would otherwise be entitled.

[X] As of February 2009, this program was suspended. Household income is the total income received by all persons (except minors, full-time students, and renters) who resided in the home during the year for which deferral is requested. Eligible homeowners can participate in both the Homeowner Assistance Program and the Property Tax Postponement Programs.

[X] This program became effective 1 January 2009. L.2008, P.L.146 §225; L.2009, P.L. 187 §152. Although the state calls this program a circuit breaker, the benefit does not vary by income, therefore, it is not a true circuit breaker.