HB 274 – AS INTRODUCED
2007 SESSION
10/03
HOUSE BILL 274
AN ACT relative to income and asset limits and amount of the elderly property tax exemption.
SPONSORS: Rep. Hunter, Hills 7; Rep. Fletcher, Hills 7; Rep. R. Day, Hills 7; Rep. Emerton, Hills 7; Rep. Kurk, Hills 7; Sen. D’Allesandro, Dist 20
COMMITTEE: Municipal and County Government
This bill increases income and asset limits for the elderly property tax exemption and the minimum amount of the exemption in each age category, which may be adopted by towns and cities.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
07-0375
10/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seven
AN ACT relative to income and asset limits and amount of the elderly property tax exemption.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Conditions for the Elderly Property Tax Exemption; Limits Increased. Amend RSA 72:39-a, I to read as follows:
I. No exemption shall be allowed under RSA 72:39-b unless the person applying therefor:
(a) Has resided in this state for at least 3 consecutive years preceding April 1 in the year in which the exemption is claimed.
(b) Had in the calendar year preceding said April 1 a net income from all sources, or if married, a combined net income from all sources, of not more than the respective amount applicable to each age group as determined by the city or town for purposes of RSA 72:39-b. Under no circumstances shall the amount determined by the city or town be less than [$13,400] $35,000 for a single person or [$20,400] $50,000 for married persons. The net income shall be determined by deducting from all moneys received, from any source including social security or pension payments, the amount of any of the following or the sum thereof:
(1) Life insurance paid on the death of an insured;
(2) Expenses and costs incurred in the course of conducting a business enterprise;
(3) Proceeds from the sale of assets.
(c) Owns net assets not in excess of the amount determined by the city or town for purposes of RSA 72:39-b, excluding the value of the person’s actual residence and the land upon which it is located up to the greater of 2 acres or the minimum single family residential lot size specified in the local zoning ordinance. The amount determined by the city or town shall not be less than [$35,000] $150,000. A city or town may set a combined net assets amount for married persons in such greater amount as the legislative body of the city or town may determine. “Net assets” means the value of all assets, tangible and intangible, minus the value of any good faith encumbrances. “Residence” means the housing unit, and related structures such as an unattached garage or woodshed, which is the person’s principal home, and which the person in good faith regards as home to the exclusion of any other places where the person may temporarily live. “Residence”‘ shall exclude attached dwelling units and unattached structures used or intended for commercial or other nonresidential purposes.
2 Elderly Property Tax; Adoption and Modification; Minimum Amounts Increased. Amend RSA 72:39-b, II to read as follows:
II. An elderly exemption, based on assessed value for qualified taxpayers, may be granted for a different dollar amount determined by the town or city, to a person 65 years of age up to 75 years, to a person 75 years of age up to 80 years, and to a person 80 years of age or older. To qualify, the person must have been a New Hampshire resident for at least 3 consecutive years, own the real estate individually or jointly, or if the real estate is owned by such person’s spouse, they must have been married to each other for at least 5 consecutive years. In addition, the taxpayer must have a net income in each applicable age group of not more than a dollar amount determined by the town or city of not less than [$13,400] $35,000 or, if married, a combined net income of not more than a dollar amount determined by the town or city of not less than [$20,400] $50,000; and own net assets not in excess of a dollar amount determined by the town or city of not less than [$35,000] $150,000 excluding the value of the person’s residence or, if married, combined net assets not in excess of a dollar amount determined by the town or city of not less than [$35,000] $150,000 excluding the value of the residence. Under no circumstances shall the amounts of the exemption [for any age category be less than $5,000] to a person 65 years of age up to 75 years be less than $50,000, to a person 75 years of age up to 80 years be less than $90,000, and to a person 80 years of age or older be less than $100,000. The combined net asset amount for married persons shall apply to a surviving spouse until the sale or transfer of the property by the surviving spouse or until the remarriage of the surviving spouse.
3 Effective Date. This act shall take effect April 1, 2007.