Modifies provisions related to the "circuit breaker" property tax credit, reenacts the Missouri Homestead Preservation Tax Credit Program, and implements a homestead exemption for certain individuals
The implications of HB 1351 are significant in that it seeks to ease the financial burdens of property taxes on eligible homeowners aged 65 or older and those who are disabled. The proposed changes aim to ensure that the exemptions are tied to income levels and tax increases, which, if exceeded, would allow qualifying individuals to receive credits to offset their property tax increases beyond the homestead exemption limit. This shift intends to stabilize living costs for some of the most vulnerable populations in Missouri.
House Bill 1351 modifies provisions related to property tax credits in Missouri, specifically targeting the elderly and disabled individuals. It replaces the existing structure of the property tax credits under sections 135.010, 135.025, and 135.030 with new sections aiming to reenact the Missouri Homestead Preservation Tax Credit Program. The primary objective is to offer a homestead exemption credit to qualified individuals, thereby assisting those most in need with their property tax liabilities starting from tax years on or after January 1, 2024.
The sentiment surrounding HB 1351 appears mixed, with strong support from advocacy groups for the elderly and disabled who view the bill as a necessary measure to provide essential tax relief. However, there are concerns raised by some opposition regarding the sustainability of the program and how it might affect tax revenues. Supporters emphasize the need for financial protection for these demographics, while opponents worry about potential long-term impacts on state funding and tax equity for all homeowners.
Noteworthy points of contention include the qualifications for the homestead exemption, particularly regarding income limits and the requirement for applicants to reapply annually. Some find the measures to be overly restrictive, limiting accessibility for those who may not fully understand the application process. Additionally, the bill's stipulation that funeral expenses of a property owner could prompt the lapse of benefits raises concerns about the burden on surviving family members, which is a point that has sparked debate among lawmakers.