Tennessee Senate Bill SB0871

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/23
• Engrossed: 4/5/23
• Enrolled: 4/20/23
• Passed: 4/28/23
• Chaptered: 5/3/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 67, Chapter 5, Part 7, relative to property tax relief.

Impact

This bill is poised to significantly impact state laws regarding property taxation, particularly for homeowners aged 65 and older. The changes in the income limit calculations, which include provisions to account for median household incomes and potential adjustments based on cost-of-living changes by the state comptroller, aim to ensure that tax relief remains relevant and beneficial over time. If implemented, this measure will affect taxpayers' financial obligations, especially in relation to property taxation, thereby influencing housing stability for vulnerable populations.

Summary

Senate Bill 871, also known as the Property Tax Relief Act, aims to amend the Tennessee Code to enhance the property's tax freeze program for senior citizens. By allowing county and municipal legislative bodies the authority to adopt or terminate the property tax freeze program via resolution or ordinance, this bill emphasizes local government engagement in establishing tax relief measures. Further, when municipalities decide to implement this program, they are mandated to follow the same income limits established by the county, thereby creating a standardized approach within the respective jurisdictions.

Sentiment

The sentiment surrounding SB 871 appears generally positive, especially amongst advocates for senior citizens and local government flexibility. Proponents argue that expanding the tax freeze program could provide much-needed fiscal support for older homeowners facing increasing property taxes. However, there is a recognition of the complexity involved in local adoption of the program, which could lead to differing standards across the state.

Contention

A notable point of contention surrounding the bill is the implementation and administrative challenges it may pose to local governments. Critics express concerns over the potential administrative burden of adhering to the proposed structured income limits and the complexities that could arise from varying local resolutions. The balance between state oversight and local autonomy in managing tax relief programs has prompted discussions on ensuring equitable and effective implementation across Tennessee's diverse communities.