HB 2944 — Modifies provisions relating to the local senior citizen homestead tax credit

SECOND REGULAR SESSION [PERFECTED] HOUSE COMMITTEE SUBSTITUTE FOR HOUSE BILL NO.

2944 103RD GENERAL ASSEMBLY 6569H.02C6569H.02P JOSEPH ENGLER, Chief Clerk AN ACT To repeal section 137.1050, RSMo, and to enact in lieu thereof one new section relating to the senior citizen homestead tax credit.

(1) "Eligible credit amount", the difference between an eligible taxpayer's real property tax liability on such taxpayer's homestead for a given tax year,year from all political subdivisions levying a real property tax, minus the real property tax liability on such homestead in the eligible taxpayer's initial credit year;

(a) Is sixty-two years of age or older;older as of January first of the applicable tax year;

(b) Is an owner of record of a homestead or has a legal or equitable interest in such property as evidenced by a publicly recorded or a verified written instrument;instrument including, but not limited to, a trust document in which at least one primary beneficiary is sixty- two years of age or older;

(a) In the case of a taxpayer that meets all requirements of subdivision (2) of this subsection prior to the year in which a credit is authorized pursuant to subsection 2 of this section, the year in which such credit is authorized;

(b) For all other taxpayers, the year in which the taxpayer meets all requirements of subdivision (2) of this subsection.

HCS HB 2944 2 If(a) inIn any tax year subsequent to the eligiblecase taxpayer'sof initiala credittaxpayer yearthat themeets eligibleall taxpayer'srequirements realof propertysubdivision tax(2) liabilityof isthis lowersubsection thanprior suchto liabilitythe year in thewhich initiala credit year,is suchauthorized taxpursuant yearto shallsubsection be2 consideredof thethis eligiblesection, taxpayer'sthe initial credit year forin allwhich subsequentsuch taxcredit years.is authorized;

(b) For all other taxpayers, the year in which the taxpayer meets all requirements of subdivision (2) of this subsection.

If in any tax year subsequent to the eligible taxpayer's initial credit year the eligible taxpayer's real property tax liability is lower than such liability in the initial credit year, such tax year shall be considered the eligible taxpayer's initial credit year for all subsequent tax years.

(1) Any county authorized to impose a property tax may[may] shall grant a property tax credit to all eligible taxpayers residing in such county for certain increases to such taxpayer's real property tax liability in an amount equal to the taxpayer's eligible credit amount, provided that:

(1) AIn a county granting a real property tax credit pursuant to this sectionsection, the county and each political subdivision levying a real property tax on an eligible taxpayer's homestead shall apply the county's or political subdivision's proportional amount of such credit when calculating the eligible taxpayer's property tax liability for the HCS HB 2944 3 tax year.

The total amount of the credit and the county's and each political subdivision's proportional amount of the credit shall be noted in actual monetary value on the statement of tax due sent to the eligible taxpayer by the county collector.

TheA countynote governingon bodythe maystatement adoptof reasonabletax proceduresdue inshall orderindicate tothat carryit outis the purposesresponsibility and intent of thisthe section,taxpayer providedto thatnotify the county shallif nothe adopt any procedure that limits the definition or scopeshe ofis eligibleno creditlonger amount or eligible taxpayerfor asthe definedcredit inprovided under this section.

Such ineligibility shall include, but not be limited to, circumstances in which the taxpayer is no longer the owner of record, is no longer liable for the payment of property taxes on the qualifying residence, or no longer occupies the qualifying residence due to death or relocation, or the qualifying residence is no longer such taxpayer's primary residence.

Failure to notify the county governing body of ineligibility may result in penalties described in this section.

The county governing body or political subdivision's governing body may adopt reasonable procedures in order to carry out the purposes and intent of this section, provided that neither the county nor a political subdivision shall [not] adopt any procedure that limits the definition or scope of eligible credit amount or eligible taxpayer as defined in this section.

HCS HB 2944 3 (3) If an eligible taxpayer's homestead is annexed into a taxing jurisdiction to which such eligible taxpayer did not owe real property tax in the eligible taxpayer's initial credit year, then the real property tax liability for the taxpayer's initial credit year shall be increased to reflect the real property tax liability owed to the annexing taxing jurisdiction.

For the purposes of calculating property tax levies pursuant to section 137.073, the total amount of credits authorized by[by] in a county pursuant to this section shall be considered tax revenue, as such term is defined in section 137.073, actually received.received by the political subdivision levying such tax.

A[A county granting a tax credit pursuant to this section shall notify each political subdivision within such county of the total credit amount applicable to such political subdivision by no later than November thirtieth of each year.year] For purposes of this section, "real property tax" includes, but is not limited to, the following levies on an eligible taxpayer's homestead by a county or a political subdivision within such county:

6.(1) A tax levy for debt service;

(2) A tax levy for operating purposes or operating expenses;

(3) A tax levy for capital improvements or capital projects;

(4) A special assessment or special tax levy;

and (5) Any other real property tax levied for any purpose.

HCS HB 2944 4 6.

Nothing in this section shall be construed to prevent an eligible taxpayer from appealing an assessment.

7.

7.8.

8.

Inthe event no appropriation is made for the establishment or maintenance of such portal, the department of health and senior services shall, no later than July thirtieth of each year, provide to each county, through its authorized county designee, a report listing all individuals whose deaths were recorded within that county during the period beginning July first of the immediately preceding year and ending June thirtieth of the current year.

Such report shall be provided in a format reasonably usable by the HCS HB 2944 4 county designee for purposes of administering, verifying, and maintaining eligibility for the senior citizen property tax credit.

EachIn countythe designee,event inno furtheranceappropriation ofis administeringmade anyfor seniorthe citizenestablishment propertyor taxmaintenance creditof eliminatingsuch portal, the needdepartment forof mandatoryhealth annualand renewalsenior byservices eligibleshall, applicants,no shalllater implementthan reasonableJuly proceduresthirtieth of each year, provide to determineeach whethercounty, athrough changeits ofauthorized ownershipcounty hasdesignee, occurreda withreport respectlisting toall anyindividuals homesteadwhose receivingdeaths suchwere creditrecorded priorwithin tothat county during the issuanceperiod beginning July first of propertythe taximmediately statementspreceding foryear theand applicableending taxJune thirtieth of the current year.

Such proceduresreport shall conformbe toprovided applicablein locala ordinances,format administrativereasonably processes,usable andby availablethe records,county anddesignee shallfor ensurepurposes theof accurateadministering, continuationverifying, orand removalmaintaining ofeligibility suchfor creditthe basedsenior uponcitizen eligibility.property tax credit.

AnyEach paymentcounty ofdesignee, realin orfurtherance personalof propertyadministering taxesany transmittedsenior throughcitizen theproperty Unitedtax Statescredit Postaleliminating Service and postmarked no later than January fifth of the yearneed immediatelyfor followingmandatory theannual applicablerenewal taxby yeareligible shallapplicants, be deemed timely paid and shall notimplement bereasonable subjectprocedures to penaltydetermine orwhether interest,a providedchange that, regardless of postmarkownership date,has anyoccurred check,with cashier'srespect check,to or money order dated later than December thirty-first of the applicable tax year shall be considered delinquent, and further provided that any paymenthomestead madereceiving bysuch meanscredit otherprior than United States Postal Service mail, including but not limited to in-the person,issuance electronic,of internet,property interactivetax voicestatements response,for or electronic check payments shall be considered delinquent if received after December thirty-first of the applicable tax year.

Such procedures shall conform to applicable local ordinances, administrative processes, and available records, HCS HB 2944 5 and shall ensure the accurate continuation or removal of such credit based upon eligibility.

Any payment of real or personal property taxes transmitted through the United States Postal Service and postmarked no later than January fifth of the year immediately following the applicable tax year shall be deemed timely paid and shall not be subject to penalty or interest, provided that, regardless of postmark date, any check, cashier's check, or money order dated later than December thirty-first of the applicable tax year shall be considered delinquent, and further provided that any payment made by means other than United States Postal Service mail, including but not limited to in- person, electronic, internet, interactive voice response, or electronic check payments shall be considered delinquent if received after December thirty-first of the applicable tax year.

12.

12.13.

The county governing body shall provide reasonable HCS HB 2944 5 public notice of such extension, and such extension shall apply uniformly to all affected taxpayers within the jurisdiction.