HB 198 – AS INTRODUCED
HOUSE BILL 198
This bill enables municipalities to adopt a freeze of the property assessments for persons aged 65 and older who have resided in their homes for at least 20 years. A tax credit is granted to the extent the freeze on the property assessment results in reduced tax liability.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [
in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Five
AN ACT allowing municipalities to adopt a property tax credit for persons aged 65 and older calculated by freezing their property assessments.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Section; Freeze on Assessments for Person Over 65; Credit Granted. Amend RSA 72 by inserting after section 39-b the following new section:
72:39-c Freeze on Assessments for Person 65 and Over; Tax Credit Granted.
I. A town or city may adopt or modify the freeze and credit granted under this section by the procedure in RSA 72:27-a.
II. An owner of single-family residential property who is 65 years of age or older and who has continually resided at that same residence for at least 20 years shall have the assessed value of the property retained without change, except as provided in paragraph III, for purposes of determining the tax liability, without regard to increases in the value of the property. The municipality shall continue to update and report the true assessed value, provided, however that the person’s tax bill shall be calculated using the assessed value of the year of the freeze on the assessment. A property tax credit shall be granted to the owners to the extent that the tax bill in any subsequent year is lower than the amount calculated using the true assessed value of the property. The freeze on assessment shall expire upon the death of the owner or the sale or transfer of the property to any other person.
III. The frozen value of property used in paragraph II shall be proportionately recalculated if the town or city adopts a revenue neutral reappraisal affecting the property.
IV. The term “residential real estate” as used in this section means the same as defined in RSA 72:29.
2 Property Tax Credit; Adoption Procedure; Reference Added. Amend the introductory paragraph of RSA 72:27-a, I to read as follows:
I. Any town or city may adopt the provisions of RSA 72:28, RSA 72:29-a, RSA 72:35, RSA 72:37, RSA 72:37-b, RSA 72:38-b, RSA 72:39-a, RSA 72:39-c, RSA 72:62, RSA 72:66, or RSA 72:70 in the following manner:
3 Definitions; Reference Added. Amend RSA 72:29, VI to read as follows:
VI. For purposes of RSA 72:28, 29-a, 30, 31, 32, 33, 35, 36-a, 37, 37-a, 37-b, 38-a, 38-b, 39-a, 39-c, 62, 66, and 70, the ownership of real estate, as expressed by such words as “owner”, “owned” or “own”, shall include those who have equitable title or the beneficial interest for life in the subject property.
4 Property Taxation; Application Procedure; Reference Added. Amend the introductory paragraph of RSA 72:33, I to read as follows:
I. No person shall be entitled to the exemptions or tax credits provided by RSA 72:28, 29-a, 30, 31, 32, 35, 36-a, 37, 37-a, 37-b, 38-b, 39-b, 39-c, 62, 66, and 70 unless the person has filed with the selectmen or assessors, by April 15 preceding the setting of the tax rate, a permanent application therefor, signed under penalty of perjury, on a form approved and provided by the commissioner of revenue administration, showing that the applicant is the true and lawful owner of the property on which the exemption or tax credit is claimed and that the applicant was duly qualified upon April 1 of the year in which the exemption or tax credit is first claimed, or, in the case of financial qualifications, that the applicant is duly qualified at the time of application. The form shall include the following and such other information deemed necessary by the commissioner:
5 Appeals; Reference Added. Amend RSA 72:34-a to read as follows:
72:34-a Appeal From Refusal to Grant Exemption, Deferral, or Tax Credit. Whenever the selectmen or assessors refuse to grant an applicant an exemption, deferral, or tax credit to which the applicant may be entitled under the provisions of RSA 72:23, 23-d, 23-e, 23-f, 23-g, 23-h, 23-i, 23-j, 23-k, 28, 29-a, 30, 31, 32, 35, 36-a, 37, 37-a, 37-b, 38-a, 38-b, 39-a, 39-b, 39-c, 41, 42, 62, 66, or 70 the applicant may appeal in writing, on or before September 1 following the date of notice of tax under RSA 72:1-d, to the board of tax and land appeals or the superior court, which may order an exemption, deferral, or tax credit, or an abatement if a tax has been assessed.
6 Effective Date. This act shall take effect April 1, 2005.