Homestead exemption; increase for persons 65 years of age or older or totally disabled.
Impact
If enacted, the bill will increase the amount of the homestead exemption significantly, allowing eligible homeowners to benefit from a more substantial reduction in their property tax obligations. Specifically, it aims to double the exemption for certain homeowners, facilitating financial advantages for these groups and thereby aiding their ability to maintain homeownership. Additionally, this change could encourage long-term residency and stability for the elderly and disabled within their communities.
Summary
House Bill 998 seeks to amend section 27-33-75 of the Mississippi Code of 1972 to increase the homestead exemption amount for individuals aged 65 or older and for those who are totally disabled. This bill includes provisions aimed at reducing the tax burden on these vulnerable populations by allowing for increased exemption amounts based on the assessed value of their homestead properties. The proposed changes are intended to ensure that senior citizens and disabled individuals receive significant financial relief from ad valorem taxes, which could be especially beneficial in light of rising property values.
Contention
Some points of contention surrounding House Bill 998 include how the increased exemption could affect local government revenues that rely on property taxes to fund essential services. Opponents might argue that while the bill helps vulnerable populations, it could lead to budget shortfalls that may necessitate higher taxes for other groups or reductions in public services. Furthermore, discussions involving how the state will manage the fiscal impact of broader adoption of such exemptions could emerge as the bill progresses through legislative channels.