Bill Text: FL S1884 | 2010 | Regular Session | Comm Sub

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Bill Title: Real Property [WPSC]

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2010-04-29 - Placed on Special Order Calendar; Read 2nd time -SJ 01096; Substituted CS/CS/HB 927 -SJ 01096; Laid on Table, companion bill(s) passed, see CS/CS/HB 927 (Ch. 2010-109) -SJ 01096 [S1884 Detail]

Download: Florida-2010-S1884-Comm_Sub.html

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Florida Senate - 2010                             CS for SB 1884 
 
By the Committee on Finance and Tax; and Senator Altman 
593-04254-10                                          20101884c1 
1                        A bill to be entitled 
2         An act relating to real property; amending s. 193.155, 
3         F.S.; revising the criteria under which a transfer of 
4         homestead property is not considered a change of 
5         ownership; providing for such provisions to apply to a 
6         leasehold interest under certain circumstances; 
7         amending s. 193.1554, F.S.; providing that a change in 
8         the ownership of nonhomestead residential property is 
9         not deemed to have occurred due to certain 
10         transactions involving a publicly traded company; 
11         amending s. 193.1555, F.S.; providing that a change in 
12         the ownership of nonresidential property is not deemed 
13         to have occurred due to certain transactions involving 
14         a publicly traded company; amending s. 193.1556, F.S.; 
15         providing that a recorded deed or other instrument 
16         shall serve as notice of a change of ownership; 
17         requiring the Department of Revenue to provide a form 
18         by which a property owner may notify any property 
19         appraiser of a change of ownership or control; 
20         providing an effective date. 
21 
22  Be It Enacted by the Legislature of the State of Florida: 
23 
24         Section 1. Subsection (3) of section 193.155, Florida 
25  Statutes, is amended to read: 
26         193.155 Homestead assessments.—Homestead property shall be 
27  assessed at just value as of January 1, 1994. Property receiving 
28  the homestead exemption after January 1, 1994, shall be assessed 
29  at just value as of January 1 of the year in which the property 
30  receives the exemption unless the provisions of subsection (8) 
31  apply. 
32         (3)(a) Except as provided in this subsection or subsection 
33  (8), property assessed under this section shall be assessed at 
34  just value as of January 1 of the year following a change of 
35  ownership. Thereafter, the annual changes in the assessed value 
36  of the property are subject to the limitations in subsections 
37  (1) and (2). For the purpose of this section, a change of 
38  ownership means any sale, foreclosure, or transfer of legal 
39  title or beneficial title in equity to any person, except as 
40  provided in this subsection. There is no change of ownership if: 
41         1.(a) Subsequent to the change or transfer, the same person 
42  is entitled to the homestead exemption as was previously 
43  entitled and: 
44         a.1. The transfer of title is to correct an error; 
45         b.2. The transfer is between legal and equitable title or 
46  equitable and equitable title and no additional person applies 
47  for a homestead exemption on the property; or 
48         c.3. The change or transfer is by means of an instrument in 
49  which the owner is listed as both grantor and grantee of the 
50  real property and one or more other individuals are additionally 
51  named as grantee. However, if any individual who is additionally 
52  named as a grantee applies for a homestead exemption on the 
53  property, the application shall be considered a change of 
54  ownership; 
55         2.(b) Legal or equitable title is changed or transferred 
56  The transfer is between husband and wife, including a change or 
57  transfer to a surviving spouse or a transfer due to a 
58  dissolution of marriage; 
59         3.(c) The transfer occurs by operation of law to the 
60  surviving spouse or minor child or children under s. 732.401 s. 
61  732.4015; or 
62         4.(d) Upon the death of the owner, the transfer is between 
63  the owner and another who is a permanent resident and is legally 
64  or naturally dependent upon the owner. 
65         (b) For purposes of this subsection, a leasehold interest 
66  that qualifies for the homestead exemption under s. 196.031 or 
67  s. 196.041 shall be treated as an equitable interest in the 
68  property. 
69         Section 2. Subsection (5) of section 193.1554, Florida 
70  Statutes, is amended to read: 
71         193.1554 Assessment of nonhomestead residential property.— 
72         (5) Except as provided in this subsection, property 
73  assessed under this section shall be assessed at just value as 
74  of January 1 of the year following a change of ownership or 
75  control. Thereafter, the annual changes in the assessed value of 
76  the property are subject to the limitations in subsections (3) 
77  and (4). For purpose of this section, a change of ownership or 
78  control means any sale, foreclosure, transfer of legal title or 
79  beneficial title in equity to any person, or the cumulative 
80  transfer of control or of more than 50 percent of the ownership 
81  of the legal entity that owned the property when it was most 
82  recently assessed at just value, except as provided in this 
83  subsection. There is no change of ownership if: 
84         (a) The transfer of title is to correct an error.; 
85         (b) The transfer is between legal and equitable title.; or 
86         (c) The transfer is between husband and wife, including a 
87  transfer to a surviving spouse or a transfer due to a 
88  dissolution of marriage. 
89         (d) For a publicly traded company, the cumulative transfer 
90  of more than 50 percent of the ownership of the entity that owns 
91  the property occurs through the buying and selling of shares of 
92  the company on a public exchange. This exception does not apply 
93  to a transfer made through a merger with or an acquisition by 
94  another company, including an acquisition by acquiring 
95  outstanding shares of the company. 
96         Section 3. Subsection (5) of section 193.1555, Florida 
97  Statutes, is amended to read: 
98         193.1555 Assessment of certain residential and 
99  nonresidential real property.— 
100         (5) Except as provided in this subsection, property 
101  assessed under this section shall be assessed at just value as 
102  of January 1 of the year following a qualifying improvement or 
103  change of ownership or control. Thereafter, the annual changes 
104  in the assessed value of the property are subject to the 
105  limitations in subsections (3) and (4). For purpose of this 
106  section: 
107         (a) A qualifying improvement means any substantially 
108  completed improvement that increases the just value of the 
109  property by at least 25 percent. 
110         (b) A change of ownership or control means any sale, 
111  foreclosure, transfer of legal title or beneficial title in 
112  equity to any person, or the cumulative transfer of control or 
113  of more than 50 percent of the ownership of the legal entity 
114  that owned the property when it was most recently assessed at 
115  just value, except as provided in this subsection. There is no 
116  change of ownership if: 
117         1. The transfer of title is to correct an error.; or 
118         2. The transfer is between legal and equitable title. 
119         3. For a publicly traded company, the cumulative transfer 
120  of more than 50 percent of the ownership of the entity that owns 
121  the property occurs through the buying and selling of shares of 
122  the company on a public exchange. This exception does not apply 
123  to a transfer made through a merger with or acquisition by 
124  another company, including acquisition by acquiring outstanding 
125  shares of the company. 
126         Section 4. Section 193.1556, Florida Statutes, is amended 
127  to read: 
128         193.1556 Notice of change of ownership or control 
129  required.— 
130         (1) Any person or entity that owns property assessed under 
131  s. 193.1554 or s. 193.1555 must notify the property appraiser 
132  promptly of any change of ownership or control as defined in ss. 
133  193.1554(5) and 193.1555(5). If the change of ownership is 
134  recorded by a deed or other instrument in the public records of 
135  the county where the property is located, the recorded deed or 
136  other instrument shall serve as notice to the property 
137  appraiser. If any property owner fails to so notify the property 
138  appraiser and the property appraiser determines that for any 
139  year within the prior 10 years the owner’s property was not 
140  entitled to assessment under s. 193.1554 or s. 193.1555, the 
141  owner of the property is subject to the taxes avoided as a 
142  result of such failure plus 15 percent interest per annum and a 
143  penalty of 50 percent of the taxes avoided. It is the duty of 
144  the property appraiser making such determination to record in 
145  the public records of the county a notice of tax lien against 
146  any property owned by that person or entity in the county, and 
147  such property must be identified in the notice of tax lien. Such 
148  property is subject to the payment of all taxes and penalties. 
149  Such lien when filed shall attach to any property, identified in 
150  the notice of tax lien, owned by the person or entity that 
151  illegally or improperly was assessed under s. 193.1554 or s. 
152  193.1555. If such person or entity no longer owns property in 
153  that county, but owns property in some other county or counties 
154  in the state, it shall be the duty of the property appraiser to 
155  record a notice of tax lien in such other county or counties, 
156  identifying the property owned by such person or entity in such 
157  county or counties, and it becomes a lien against such property 
158  in such county or counties. 
159         (2) The Department of Revenue shall provide a form by which 
160  a property owner may provide notice to all property appraisers 
161  of a change of ownership or control. The form must allow the 
162  property owner to list all property that it owns or controls in 
163  this state for which a change of ownership or control as defined 
164  in s. 193.1554(5) or s. 193.1555(5) has occurred, but has not 
165  been noticed previously to property appraisers. Providing notice 
166  on this form constitutes compliance with the notification 
167  requirements in this section. 
168         Section 5. This act shall take effect July 1, 2010.