Connecticut House Bill HB05472

Connecticut 2020 Regular Session

• Introduced: 3/5/20
• Refer: 3/5/20

Caption

An Act Concerning Property Tax Exemptions.

Impact

If enacted, the bill would have significant implications on how property tax exemptions are applied and evaluated within the state. For one, it aims to ensure that properties used by entities for charitable purposes are adequately exempted, potentially relieving them of significant tax burdens. Additionally, it clarifies that subsidies for housing financed by federal, state, or local governments do not constitute charitable purposes, thus limiting what types of housing can be exempt. This adjustment may have repercussions for low-income housing initiatives that rely on government funding and support.

Summary

House Bill 05472 seeks to amend certain provisions related to property tax exemptions for charitable organizations in Connecticut. The bill specifically addresses the real and personal property owned by corporations organized exclusively for scientific, educational, literary, historical, or charitable purposes. The primary objective is to clarify that properties held in trust for these organizations can be exempt from taxation and details the type of activities that would qualify for these exemptions. One key aspect of this legislation is the requirement that boards of assessors must evaluate and post online the statements of property tax exemptions submitted by these organizations.

Contention

There are notable points of contention surrounding HB 05472. Advocates argue that the bill enhances transparency and promotes fair assessment practices by requiring assessors to provide clarity on exemptions for tax-exempt organizations. However, critics may see the stringent definitions of what constitutes a charitable purpose as a potential barrier for some organizations, particularly those that provide housing support services. The effectiveness of the amendment will likely depend on how it interacts with existing charitable efforts and whether it inadvertently restricts opportunities for assistance to vulnerable populations.