Relative to applications for the low and moderate income homeowners property tax relief program.
Impact
The bill is set to take effect on July 1, 2023, and its implementation could potentially increase the number of applications received by the Department of Revenue Administration. With the expanded timeframe for filing, more homeowners may be encouraged to apply for tax relief, which could lead to an indeterminable increase in expenditures for the Education Trust Fund. This change is significant as it could affect the state’s budget and financial allocations related to educational funding, depending on the uptake of the program.
Summary
House Bill 98, introduced in the 2023 session, modifies the timeline for applications concerning the low and moderate income homeowners property tax relief program. The bill proposes to shift the application submission start date from May 1 to February 1, enabling homeowners to apply for assistance earlier in the year. This change aims to provide more flexibility to low and moderate income residents who rely on this relief to manage their property taxes effectively.
Sentiment
General sentiment surrounding HB 98 appears to be supportive, particularly among advocates for low and moderate income homeowners who stand to benefit from an earlier opportunity to apply for tax relief. However, there are concerns about whether the Department of Revenue will be able to accurately provide the necessary data for property tax calculations, as the required equalization of property valuations typically occurs by May 1, which may complicate filings initiated on February 1.
Contention
A notable point of contention is the potential impact on the Department of Revenue's capability to handle early filings effectively. Critics might argue that moving the application period to an earlier date could lead to calculation inaccuracies for property tax relief, especially if the necessary data for equalized property valuations is not ready by that time. Therefore, while the intent is to expand access to tax relief, practical considerations about administrative capacity and data readiness are at the forefront of discussions regarding the bill.
Expanding property tax exemptions for certain elderly and disabled persons; raising public awareness regarding tax credits and exemptions; and requiring an annual report regarding the efficacy of the low and moderate income homeowners property tax relief program.
Relative to application of the utility property tax to certain renewable electric generating facilities, and relative to communications services tax revenues.