Tennessee House Bill HB0244

Tennessee 2023-2024 Regular Session

• Introduced: 1/17/23
• Refer: 1/21/23

Caption

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

Impact

This legislative change aims to provide enhanced property tax relief to a broader range of Tennessee taxpayers, particularly benefiting those with slightly higher incomes who previously missed out on relief due to the old threshold. By raising the income limits, the bill intends to alleviate some of the financial burdens on individuals and families, making it more accessible for them to obtain tax relief and improve their financial standing. The amendments would take effect on July 1, 2023, applicable to tax years starting from that date.

Summary

House Bill 0244 seeks to amend the Tennessee Code Annotated concerning property tax relief. The bill proposes significant adjustments to the annual income thresholds that determine eligibility for this relief. Specifically, for the tax year 2024 and subsequent years, the income limit for taxpayers would be increased to thirty-six thousand six hundred dollars ($36,600), up from the previous threshold of twenty-four thousand dollars ($24,000). Additionally, the bill modifies other references in the code to further align with the new income limit.

Contention

While supporters of HB 0244 argue that increasing the income thresholds is a positive step towards providing more equitable tax relief, there are concerns about the long-term implications of such amendments on the state’s budget and tax revenue. The debate might center around whether this expanded relief will place additional strain on state-funded services or if it might slow down the state’s tax revenue growth. Critics may also highlight that the adjustments could benefit wealthier taxpayers, undermining the bill’s intent to support low-income residents.