HB 1618 -- Property Tax:  Assessments

Co-Sponsors:  Bearden, Hanaway, Hunter, Crawford, Dempsey, Dolan

This bill authorizes a homestead exemption for purposes of real
property taxation for taxpayers who (1)  have reached the age of
65 years or older; (2)  use the real property as a principal
residence; (3)  have an adjusted gross income of less than
$25,000 if filing a single tax return or $50,000 if filing a
joint tax return; and (4)  have made no improvements or new
construction that have a value equal to 15% or greater of the
property's market value before the improvements or new
construction.  The homestead exemption amount is any future
increase in assessed valuation on the homestead from the year the
taxpayer reaches the age of 65.

The eligible property owner must file an application with the
county clerk on a form provided by the State Tax Commission by
June 1 of the year preceding the year for the exemption.  Proof
of age and a copy of the applicant's most recent Missouri tax
return must be filed with the application.

The county clerk must notify the county assessor of eligible
applicants.  The State Tax Commission will establish rules and
regulations for the administration of the homestead exemption.
Any taxing district may also adjust its operating levy to recoup
any loss of property tax revenue.

The bill also changes the automatic inflationary assessment
growth factor currently limited to the lesser of the increase in
the Consumer Price Index or 5% to the percentage change in
personal income.

The bill will become effective upon the passage of a
constitutional amendment related to limiting increases in
assessed valuation of political subdivisions.

Missouri House of Representatives
Last Updated October 11, 2002 at 9:01 am