Tennessee 2025-2026 Regular Session

Tennessee Senate Bill SB1173 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	HOUSE BILL 941
3	3	By Mitchell
4	4
5	5	SENATE BILL 1173
6	6	By Akbari
7	7
8	8
9	9	SB1173
10	10	001982
11	11	- 1 -
12	12
13	13	AN ACT to amend Tennessee Code Annotated, Title 67,
14	14	Chapter 5, Part 7, relative to elderly, low-income
15	15	homeowners.
16	16
17	17	BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
18	18	SECTION 1. Tennessee Code Annotated, Section 67-5-702(a), is amended by deleting
19	19	subdivision (3) and substituting instead the following:
20	20	(A) Reimbursement must be paid on the assessed value of the property and in
21	21	accordance with subsection (b); provided, that reimbursement must not be paid if the
22	22	assessed value of the property exceeds four hundred thousand dollars ($400,000), or
23	23	such other amount as set forth in the general appropriations act or as adjusted pursuant
24	24	to subdivision (a)(3)(B), in the first year tax relief for the property is claimed by the
25	25	taxpayer. If the assessed value of the property of a taxpayer who received tax relief
26	26	pursuant to this section in the previous year exceeds the upper limit set or adjusted
27	27	pursuant to this subdivision (a)(3) in the subsequent year, then reimbursement must be
28	28	paid on the upper limit.
29	29	(B) Beginning for tax year 2027, and each subsequent tax year, the upper limit
30	30	on the assessed value under subdivision (a)(3)(A) must be increased annually to reflect
31	31	inflation, as measured by the United States bureau of labor statistics consumer price
32	32	index for all urban consumers, and rounded to the nearest one hundred dollars ($100).
33	33	The comptroller of the treasury shall notify taxpayers of any change in dollar amounts
34	34	made pursuant to this subdivision (a)(3)(B) and post the information in a readily
35	35	identifiable location on the comptroller's website. The annual percentage changes used
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37	37
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39	39
40	40	in this calculation must be not less than zero percent (0%) and not more than three
41	41	percent (3%).
42	42	SECTION 2. Tennessee Code Annotated, Section 67-5-702(b), is amended by deleting
43	43	the subsection and substituting instead the following:
44	44	(1) In determining the amount of relief to a taxpayer:
45	45	(A) Reimbursement is based on the taxpayer's age and must be
46	46	calculated as a percentage of the property tax owed and paid on the assessed
47	47	value; and
48	48	(B) The assessed value must be multiplied by a tax rate that has been
49	49	adjusted to reflect the relationship between appraised value and market value in
50	50	that jurisdiction, as determined by the state board of equalization.
51	51	(2) The assessed value is determined by multiplying the full market value of the
52	52	property by twenty-five percent (25%).
53	53	(3) The full market value of the property is determined by adjusting the
54	54	appraised value of the property as shown on the records of the assessor of property by a
55	55	factor that reflects the relationship between appraised value and market value in that
56	56	jurisdiction, as determined by the state board of equalization.
57	57	(4) The amount of property tax relief available to a taxpayer is as follows:
58	58	(A) If the taxpayer is sixty-five (65) years of age, then the reimbursement
59	59	is ten percent (10%) of the property tax paid;
60	60	(B) Each additional year of age results in an additional ten percent (10%)
61	61	of property tax reimbursement; and
62	62	(C) If the taxpayer is seventy-four (74) years of age or older, then the
63	63	reimbursement is one hundred percent (100%) of the property tax paid.
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68	68	SECTION 3. This act takes effect July 1, 2025, the public welfare requiring it, and
69	69	applies to tax years beginning on or after that date.