Bill Text: IA SF152 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act providing a property assessment adjustment for certain property of persons who have attained the age of sixty-five, providing a penalty, and including retroactive and other applicability provisions.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-01-30 - Subcommittee: Feenstra, Jochum, and Smith. S.J. 172. [SF152 Detail]
Download: Iowa-2017-SF152-Introduced.html
Senate File 152 - Introduced SENATE FILE BY ZAUN A BILL FOR 1 An Act providing a property assessment adjustment for certain 2 property of persons who have attained the age of sixty=five, 3 providing a penalty, and including retroactive and other 4 applicability provisions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1631XS (3) 87 md/sc PAG LIN 1 1 Section 1. NEW SECTION. 425B.1 Homestead assessed value 1 2 adjustment ==== purpose. 1 3 Persons who own their homesteads and who meet the 1 4 qualifications provided in this chapter are eligible for an 1 5 adjustment in the assessed value of their homesteads, as 1 6 provided in this chapter, to prevent an increase in such 1 7 values. 1 8 Sec. 2. NEW SECTION. 425B.2 Definitions. 1 9 As used in this chapter, unless the context otherwise 1 10 requires: 1 11 1. "Assessed value" means the actual value prior to any 1 12 adjustment pursuant to section 441.21, subsection 4. 1 13 2. "Base assessment year" means the assessment year 1 14 beginning in the base year. 1 15 3. "Base year" means the calendar year last ending before 1 16 the claim is filed. 1 17 4. "Claimant" means a person filing a claim for adjustment 1 18 under this chapter who has attained the age of sixty=five years 1 19 on or before December 31 of the base year and is domiciled in 1 20 this state at the time the claim is filed or at the time of the 1 21 person's death in the case of a claim filed by the executor or 1 22 administrator of the claimant's estate. 1 23 5. "Homestead" means the dwelling owned and actually used 1 24 as a home by the claimant during any part of the base year 1 25 and so much of the land surrounding it, including one or more 1 26 contiguous lots or tracts of land, as is reasonably necessary 1 27 for use of the dwelling as a home, and may consist of a part 1 28 of a multidwelling or multipurpose building and a part of the 1 29 land upon which it is built. It does not include personal 1 30 property except that a manufactured or mobile home may be 1 31 a homestead. Any dwelling or a part of a multidwelling or 1 32 multipurpose building which is exempt from taxation does not 1 33 qualify as a homestead under this chapter. A homestead must 1 34 be located in this state. When a person is confined in a 1 35 nursing home, extended=care facility, or hospital, the person 2 1 shall be considered as occupying or living in the person's 2 2 homestead if the person is the owner of the homestead and the 2 3 person maintains the homestead and does not lease, rent, or 2 4 otherwise receive profits from other persons for the use of the 2 5 homestead. 2 6 6. "Owned" means owned by an owner as defined in section 2 7 425.11. 2 8 Sec. 3. NEW SECTION. 425B.3 Right to file a claim. 2 9 The right to file a claim for an assessed value adjustment 2 10 under this chapter may be exercised by the claimant or on 2 11 behalf of a claimant by the claimant's legal guardian, spouse, 2 12 or attorney, or by the executor or administrator of the 2 13 claimant's estate. If a claimant dies after having filed a 2 14 claim for adjustment, the amount of any adjustment shall be 2 15 made as if the claimant had not died. 2 16 Sec. 4. NEW SECTION. 425B.4 Claim for adjustment. 2 17 1. Subject to the limitations provided in this chapter, 2 18 a claimant may annually claim an adjustment of the assessed 2 19 value of the claimant's homestead for the base assessment year. 2 20 The adjustment claim shall be filed with the county assessor 2 21 between January 1 and February 15 immediately following 2 22 the close of the base assessment year. However, in case of 2 23 sickness, absence, or other disability of the claimant, or 2 24 if in the judgment of the county assessor good cause exists, 2 25 the county assessor may extend the time for filing a claim for 2 26 adjustment through June 30 of the same calendar year. 2 27 2. The county assessor shall notify the department of 2 28 revenue by March 1 of the number of claimants receiving 2 29 adjustments under this chapter and the total amount of the 2 30 reduced assessed values for the base assessment year. 2 31 Sec. 5. NEW SECTION. 425B.5 Adjustment ==== maximum tax 2 32 dollars levied. 2 33 If the claimant's assessed value in the base assessment year 2 34 prior to an adjustment under this chapter is less than one 2 35 hundred fifty thousand dollars or if the claimant's assessed 3 1 value for the assessment year preceding the base assessment 3 2 year, if adjusted under this chapter, is less than one hundred 3 3 fifty thousand dollars, the assessed value of the claimant's 3 4 homestead in the base assessment year shall be adjusted, but 3 5 not increased, to equal the assessed value, as such assessed 3 6 value may have been adjusted pursuant to this chapter, in 3 7 the assessment year preceding the base assessment year. If 3 8 the amount of property taxes levied against the adjusted 3 9 assessment exceeds the amount of property taxes levied against 3 10 the property in the fiscal year for which taxes were first 3 11 levied against an adjusted assessment under this chapter, the 3 12 treasurer shall subtract the difference from the amount due. 3 13 Sec. 6. NEW SECTION. 425B.6 Administration. 3 14 The director of revenue shall make available suitable forms 3 15 for claiming an assessed value adjustment with instructions 3 16 for claimants. Each assessor and county treasurer shall make 3 17 available the forms and instructions. The claim shall be in a 3 18 form as the director may prescribe. 3 19 Sec. 7. NEW SECTION. 425B.7 Proof of claim. 3 20 1. Every claimant shall give the department of revenue, in 3 21 support of the claim, reasonable proof of: 3 22 a. Age. 3 23 b. Changes of homestead. 3 24 c. Size and nature of the property claimed as the homestead. 3 25 2. The director of revenue may require any additional proof 3 26 necessary to support a claim. 3 27 Sec. 8. NEW SECTION. 425B.8 Audit ==== denial. 3 28 If on the audit of a claim for adjustment under this chapter, 3 29 the director of revenue determines the claim is not allowable, 3 30 the director shall notify the claimant of the denial and the 3 31 reasons for it. The director shall not deny a claim after 3 32 three years from October 31 of the year in which the claim was 3 33 filed. The director shall give notification to the county 3 34 assessor of the denial of the claim and the county assessor 3 35 shall instruct the county treasurer to proceed to collect the 4 1 tax that would have been levied on the applicable adjusted 4 2 assessed value in the same manner as other property taxes 4 3 due and payable are collected, if the property on which the 4 4 adjustment was granted is still owned by the claimant. 4 5 Sec. 9. NEW SECTION. 425B.9 Waiver of confidentiality. 4 6 1. A claimant shall expressly waive any right to 4 7 confidentiality relating to all information available to the 4 8 county assessor who shall hold the information confidential 4 9 except that it may be used as evidence to disallow the assessed 4 10 value adjustment. 4 11 2. The department of revenue may release information 4 12 pertaining to a person's eligibility or claim for or receipt of 4 13 the assessed value adjustment to an employee of the department 4 14 of inspections and appeals in the employee's official conduct 4 15 of an audit or investigation. 4 16 Sec. 10. NEW SECTION. 425B.10 False claim ==== penalty. 4 17 A person who makes a false affidavit for the purpose of 4 18 obtaining an adjustment in assessed value provided for in 4 19 this chapter or who knowingly receives the adjustment without 4 20 being legally entitled to it or makes claim for the adjustment 4 21 in more than one county in the state without being legally 4 22 entitled to it is guilty of a fraudulent practice. The claim 4 23 for adjustment shall be disallowed in full and property tax 4 24 shall be levied on the disallowed adjustment at the rate that 4 25 would have been levied but for the adjustment. The director of 4 26 revenue shall send a notice of disallowance of the claim. 4 27 Sec. 11. NEW SECTION. 425B.11 Notices, appeals, and 4 28 rules. 4 29 To the extent not otherwise contrary to the provisions of 4 30 this chapter: 4 31 1. Section 423.39, subsection 1, shall apply to all notices 4 32 under this chapter. 4 33 2. Any person aggrieved by an act or decision of the 4 34 director of revenue or the department of revenue under this 4 35 chapter shall have the same rights of appeal and review as 5 1 provided in section 423.38 and the rules of the department of 5 2 revenue. 5 3 3. A claim for adjustment shall be disallowed if the 5 4 department finds that the claimant or a person of the 5 5 claimant's household received title to the homestead primarily 5 6 for the purpose of receiving benefits under this chapter. 5 7 4. The department of revenue shall adopt rules pursuant to 5 8 chapter 17A to administer and interpret this chapter, including 5 9 rules to prevent and disallow duplication of benefits and to 5 10 prevent any unreasonable hardship or advantage to any person. 5 11 Sec. 12. APPLICABILITY. This Act applies retroactively to 5 12 January 1, 2017, for assessment years beginning on or after 5 13 that date and to the filing of claims on or after January 1, 5 14 2018, for adjustments of assessed values. 5 15 EXPLANATION 5 16 The inclusion of this explanation does not constitute agreement with 5 17 the explanation's substance by the members of the general assembly. 5 18 This bill provides for an adjustment in the assessed value 5 19 of a homestead, as defined in the bill, if the owner is a 5 20 person who is 65 or older. The bill also limits the adjustment 5 21 in assessed value to homesteads that have certain assessed 5 22 valuations of less than $150,000. If those qualifications are 5 23 met, the assessed value of the homestead upon which property 5 24 taxes are levied in a fiscal year is the same assessed value as 5 25 for the previous fiscal year. The bill specifies that assessed 5 26 value is the actual value prior to any rollback being applied. 5 27 The bill provides that a person who makes a false affidavit 5 28 for the purpose of obtaining an adjustment, knowingly receives 5 29 the adjustment without being legally entitled to it, or makes 5 30 claim for the adjustment in more than one county without being 5 31 legally entitled to it is guilty of a fraudulent practice and 5 32 is subject to a criminal penalty. 5 33 The bill applies retroactively to January 1, 2017, for 5 34 assessment years beginning on or after that date and applies to 5 35 claims filed on or after January 1, 2018, for the adjustments. LSB 1631XS (3) 87 md/sc
