HB 486-FN - AS INTRODUCED
HOUSE BILL 486-FN
SPONSORS: Rep. Fellows, Graf. 8; Rep. Walz, Merr. 23; Rep. Adjutant, Graf. 17; Rep. Gordon, Graf. 9
COMMITTEE: Municipal and County Government
This bill increases the income and property value criteria for claimants of the low and moderate income homeowners property tax relief against statewide education property taxes.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.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 Twenty One
Be it Enacted by the Senate and House of Representatives in General Court convened:
III. An eligible tax relief claimant is a person who:
(a) Owns a homestead or interest in a homestead subject to the education tax;
(b) Resided in such homestead on April 1 of the year for which the claim is made, except such persons as are on active duty in the United States armed forces or are temporarily away from such homestead but maintain the homestead as a primary domicile; and
(c) Realizes total household income of:
(1) [$20,000] $37,000 or less if a single person;
(2) [$40,000] $47,000 or less if a married person or head of a New Hampshire household.
IV. All or a portion of an eligible tax relief claimant's state education property taxes, RSA 76:3, shall be rebated as follows:
(a) Multiply the total local assessed value of the claimant's property by the percentage of such property that qualifies as the claimant's homestead;
(b) Multiply [$100,000] $220,000 by the most current local equalization ratio as determined by the department of revenue administration;
(c) Multiply the lesser of the amount determined in subparagraph (a) or (b) by the education tax rate as shown on the tax bill under RSA 76:11-a;
(d) Multiply the product of the calculation in subparagraph (c) by the following percentage as applicable to determine the amount of tax relief available to the claimant:
(1) If a single person and total household income is:
(A) less than [$12,500] $23,100, 100 percent;
(B) [$12,500] $23,100 but less than [$15,000] $27,800, 60 percent;
(C) [$15,000] $27,800 but less than [$17,500] 32,400, 40 percent; or
(D) [$17,500] $32,400 but less tan or equal to [$20,000] $37,000, 20 percent.
(2) If a head of a New Hampshire household or a married person and total household income is:
(A) less than [$25,000] $29,400, 100 percent;
(B) [$25,000] $29,400 but less than [$30,000] $35,300, 60 percent;
(C) [$30,000] $35,300 but less than [$35,000] $41,100, 40 percent; or
(D) [$35,000] $41,100 but less than or equal to [$40,000] $47,000, 20 percent.
(e) The amount determined by subparagraph (d) is the allowable tax relief in any year.
HB 486-FN- FISCAL NOTE
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
Estimated Increase / (Decrease)
[ ] General [ X ] Education [ ] Highway [ ] Other
This bill makes the following modifications to the Low and Moderate Income Homeowner Property Tax Relief program:
1) increases the household income amounts for both single and married persons eligible for the program;
2) increases the claimant's minimum homestead amount multiplied by the applicable local equalization ratio from $100,000 to $282,000; and
3) increases the single person and total household income amounts used to determine the percentage of the tax relief rebate to be made available to the claimant.
The Department of Revenue Administration is unable to determine the impact this bill will have on State expenditures due to not possessing all the necessary information. The Department anticipates the increase in the income thresholds and maximum qualifying homestead values will result in more claimants seeking tax relief and an increase in relief amounts under this bill. Therefore, an increase in rebates being paid from the education trust fund will occur by an indeterminable amount. This indeterminable increase in state expenditures would require additional appropriations to pay these additional claims beginning in FY22.
The Department of Revenue Administration was appropriated $1,750,000 in FY20 and $1,750,000 in FY21 for the Low and Moderate Income Homeowner Property Tax Relief program
It is assumed this bill will be effective July 1, 2021.
Department of Revenue Administration
|March 1, 2021||House||Hearing|
March 1, 2021: Public Hearing: 03/01/2021 11:00 am Members of the public may attend using the following link: To join the webinar: https://www.zoom.us/j/97119253057 / Executive session on pending legislation may be held throughout the day (time permitting) from the time the committee is initially convened.
Jan. 6, 2021: Introduced (in recess of) 01/06/2021 and referred to Municipal and County Government HJ 2 P. 50