The primary residence credit; to provide for application; to provide a retroactive effective date; to provide an expiration date; and to declare an emergency.
Impact
The bill's provisions retroactively apply to the first two taxable years beginning after December 31, 2023, making its implementation immediate for homeowners who qualify. The legislation is designed to provide financial relief, especially to those managing economic hardships due to rising property taxes. Meanwhile, individuals who do not reside in their primary residence due to confinement in care facilities are also eligible for the credit, ensuring an inclusive approach to property tax relief.
Summary
Senate Bill 2201 amends the North Dakota Century Code to establish a property tax credit program for primary residences. This legislation allows eligible taxpayers to receive a credit of up to five hundred dollars against the property tax due on their primary residence. To qualify, individuals must meet specific ownership and residency requirements, which include holding a present ownership interest in the property, whether directly or through a qualifying trust. This credit aims to alleviate property tax burdens for homeowners, potentially benefiting many residents across the state.
Sentiment
The sentiment surrounding SB2201 seems largely positive, as it offers financial assistance to homeowners while potentially reducing regional disparities in property taxation. Legislators and advocacy groups supporting the bill believe it addresses the pressing issue of property taxes in North Dakota and demonstrates a commitment to aiding residents in maintaining their homes. However, discussions about the extent of the financial impact on state revenue and the administrative efforts required to implement the credit could stir some debate.
Contention
Despite the overall positive sentiment, notable points of contention may arise concerning the funding sources for the tax credits and the implications for local government revenues. Critics might voice concerns that the retroactive implementation of the tax credits could create challenges for fiscal planning at the local level. Additionally, the definition of what constitutes a primary residence and the conditions placed on qualifying trusts could lead to legal nuances requiring further clarification or modification as the bill is enacted.
A transfer of Bank of North Dakota profits to a water infrastructure revolving loan fund; to provide for a transfer; to provide an exemption; to provide for a legislative management study; to provide a report; to provide a penalty; to provide for application; to provide a retroactive effective date; to provide a contingent effective date; to provide an effective date; and to declare an emergency.
The homestead tax credit and income tax rates for individuals, estates, and trusts; to provide for a legislative management study; to provide for a legislative management report; to provide an appropriation; to provide an effective date; and to provide an expiration date.
Baseline funding and the determination of state school aid, loans from the coal development trust fund, and evidences of indebtedness; to provide an appropriation; to provide for retroactive application; and to provide an effective date.