Bill Text: IA HF619 | 2021-2022 | 89th General Assembly | Introduced
Bill Title: A bill for an act relating to the extraordinary homestead property tax credit and reimbursement for rent constituting property taxes paid for certain elderly claimants and including effective date and applicability provisions.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2021-02-18 - Introduced, referred to Ways and Means. H.J. 486. [HF619 Detail]
Download: Iowa-2021-HF619-Introduced.html
House
File
619
-
Introduced
HOUSE
FILE
619
BY
JACOBSEN
and
BACON
A
BILL
FOR
An
Act
relating
to
the
extraordinary
homestead
property
tax
1
credit
and
reimbursement
for
rent
constituting
property
2
taxes
paid
for
certain
elderly
claimants
and
including
3
effective
date
and
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
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Section
1.
Section
425.1,
subsection
1,
paragraph
a,
Code
1
2021,
is
amended
to
read
as
follows:
2
a.
A
homestead
credit
fund
is
created.
There
is
3
appropriated
annually
from
the
general
fund
of
the
state
to
4
the
department
of
revenue
to
be
credited
to
the
homestead
5
credit
fund,
an
amount
sufficient
to
implement
this
chapter
6
subchapter
.
7
Sec.
2.
Section
425.17,
subsection
2,
paragraph
a,
8
subparagraph
(1),
Code
2021,
is
amended
to
read
as
follows:
9
(1)
(a)
A
person
filing
a
claim
for
credit
or
reimbursement
10
under
this
subchapter
who
has
attained
the
age
of
sixty-five
11
years
on
or
before
December
31
of
the
base
year
or
who
is
12
totally
disabled
and
was
totally
disabled
on
or
before
December
13
31
of
the
base
year
and
is
domiciled
in
this
state
at
the
time
14
the
claim
is
filed
or
at
the
time
of
the
person’s
death
in
the
15
case
of
a
claim
filed
by
the
executor
or
administrator
of
the
16
claimant’s
estate.
17
(b)
A
person
filing
a
claim
for
credit
or
reimbursement
18
under
this
subchapter
who
is
totally
disabled
and
was
totally
19
disabled
on
or
before
December
31
of
the
base
year
and
is
20
domiciled
in
this
state
at
the
time
the
claim
is
filed
or
at
the
21
time
of
the
person’s
death
in
the
case
of
a
claim
filed
by
the
22
executor
or
administrator
of
the
claimant’s
estate.
23
Sec.
3.
Section
425.23,
subsection
1,
paragraph
a,
24
unnumbered
paragraph
1,
Code
2021,
is
amended
to
read
as
25
follows:
26
The
tentative
credit
or
reimbursement
for
a
claimant
27
described
in
section
425.17,
subsection
2
,
paragraph
“a”
,
28
subparagraphs
subparagraph
(1)
and
(2),
if
no
appropriation
29
is
made
to
the
fund
created
in
section
425.40
,
subparagraph
30
division
(b),
shall
be
determined
in
accordance
with
the
31
following
schedule:
32
Percent
of
property
taxes
33
due
or
rent
constituting
34
property
taxes
paid
35
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If
the
household
allowed
as
a
credit
or
1
income
is:
reimbursement:
2
$
0
——
8,499.99
........
100%
3
8,500
——
9,499.99
........
85
4
9,500
——
10,499.99
........
70
5
10,500
——
12,499.99
........
50
6
12,500
——
14,499.99
........
35
7
14,500
——
16,499.99
........
25
8
Sec.
4.
Section
425.23,
subsection
1,
Code
2021,
is
amended
9
by
adding
the
following
new
paragraph:
10
NEW
PARAGRAPH
.
c.
The
tentative
credit
or
reimbursement
for
11
a
claimant
described
in
section
425.17,
subsection
2,
paragraph
12
“a”
,
subparagraph
(1),
subparagraph
division
(a),
shall
be
one
13
hundred
percent
of
the
property
taxes
due
or
rent
constituting
14
property
taxes
paid.
15
Sec.
5.
Section
425.23,
subsection
3,
paragraph
a,
Code
16
2021,
is
amended
to
read
as
follows:
17
a.
A
person
who
is
eligible
to
file
a
claim
for
credit
for
18
property
taxes
due
and
who
has
a
household
income
of
eight
19
thousand
five
hundred
dollars
or
less
or
is
a
claimant
as
20
described
in
section
425.17,
subsection
2,
paragraph
“a”
,
21
subparagraph
(1),
subparagraph
division
(a),
and
who
has
an
22
unpaid
special
assessment
levied
against
the
homestead
may
23
file
a
claim
for
a
special
assessment
credit
with
the
county
24
treasurer.
The
department
shall
provide
to
the
respective
25
treasurers
the
forms
necessary
for
the
administration
of
this
26
subsection
.
The
claim
shall
be
filed
not
later
than
September
27
30
of
each
year.
Upon
the
filing
of
the
claim,
interest
for
28
late
payment
shall
not
accrue
against
the
amount
of
the
unpaid
29
special
assessment
due
and
payable.
The
claim
filed
by
the
30
claimant
constitutes
a
claim
for
credit
of
an
amount
equal
31
to
the
actual
amount
due
upon
the
unpaid
special
assessment,
32
plus
interest,
payable
during
the
fiscal
year
for
which
the
33
claim
is
filed
against
the
homestead
of
the
claimant.
However,
34
where
the
claimant
is
an
individual
described
in
section
35
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425.17,
subsection
2
,
paragraph
“a”
,
subparagraph
(2),
and
1
the
tentative
credit
is
determined
according
to
the
schedule
2
in
subsection
1
,
paragraph
“b”
,
subparagraph
(2),
of
this
3
section
,
the
claim
filed
constitutes
a
claim
for
credit
of
an
4
amount
equal
to
one-half
of
the
actual
amount
due
and
payable
5
during
the
fiscal
year.
The
treasurer
shall
certify
to
the
6
director
of
revenue
not
later
than
October
15
of
each
year
the
7
total
amount
of
dollars
due
for
claims
allowed.
The
amount
8
of
reimbursement
due
each
county
shall
be
certified
by
the
9
director
of
revenue
and
paid
by
the
director
of
the
department
10
of
administrative
services
by
November
15
of
each
year,
drawn
11
upon
warrants
payable
to
the
respective
treasurer.
There
is
12
appropriated
annually
from
the
general
fund
of
the
state
to
the
13
department
of
revenue
an
amount
sufficient
to
carry
out
the
14
provisions
of
this
subsection
.
The
treasurer
shall
credit
any
15
moneys
received
from
the
department
against
the
amount
of
the
16
unpaid
special
assessment
due
and
payable
on
the
homestead
of
17
the
claimant.
18
Sec.
6.
Section
425.24,
Code
2021,
is
amended
to
read
as
19
follows:
20
425.24
Maximum
property
tax
for
purpose
of
credit
or
21
reimbursement.
22
1.
In
any
case
in
which
property
taxes
due
or
rent
23
constituting
property
taxes
paid
for
any
household
exceeds
one
24
thousand
dollars,
the
amount
of
property
taxes
due
or
rent
25
constituting
property
taxes
paid
shall
be
deemed
to
have
been
26
one
thousand
dollars
for
purposes
of
this
subchapter
.
27
2.
Subsection
1
shall
not
apply
to
the
household
of
28
a
claimant
as
described
in
section
425.17,
subsection
2,
29
paragraph
“a”
,
subparagraph
(1),
subparagraph
division
(a).
30
Sec.
7.
Section
425.26,
subsection
1,
paragraph
f,
Code
31
2021,
is
amended
to
read
as
follows:
32
f.
Household
income
,
if
required
to
support
the
claim
.
33
Sec.
8.
Section
425.40,
subsection
2,
Code
2021,
is
amended
34
to
read
as
follows:
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2.
If
the
amount
appropriated
for
purposes
of
this
section
1
for
a
fiscal
year
is
insufficient
to
pay
all
claims
in
full
for
2
claimants
described
in
section
425.17,
subsection
2,
paragraph
3
“a”
,
subparagraph
(2)
,
the
director
shall
pay,
in
full,
all
4
claims
to
be
paid
during
the
fiscal
year
for
reimbursement
5
of
rent
constituting
property
taxes
paid
or
if
moneys
are
6
insufficient
to
pay
all
such
claims
on
a
pro
rata
basis.
If
7
the
amount
of
claims
for
credit
for
property
taxes
due
to
be
8
paid
during
the
fiscal
year
exceed
the
amount
remaining
after
9
payment
to
renters,
the
director
of
revenue
shall
prorate
the
10
payments
to
the
counties
for
the
property
tax
credit.
In
11
order
for
the
director
to
carry
out
the
requirements
of
this
12
subsection
,
notwithstanding
any
provision
to
the
contrary
in
13
this
subchapter
,
claims
for
reimbursement
for
rent
constituting
14
property
taxes
paid
filed
before
May
1
of
the
fiscal
year
shall
15
be
eligible
to
be
paid
in
full
during
the
fiscal
year
and
those
16
claims
filed
on
or
after
May
1
of
the
fiscal
year
shall
be
17
eligible
to
be
paid
during
the
following
fiscal
year
and
the
18
director
is
not
required
to
make
payments
to
counties
for
the
19
property
tax
credit
before
June
15
of
the
fiscal
year.
20
Sec.
9.
EFFECTIVE
DATE.
This
Act,
being
deemed
of
immediate
21
importance,
takes
effect
upon
enactment.
22
Sec.
10.
APPLICABILITY.
This
Act
applies
to
property
taxes
23
due
and
payable
in
fiscal
years
beginning
on
or
after
July
1,
24
2021.
25
EXPLANATION
26
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
27
the
explanation’s
substance
by
the
members
of
the
general
assembly.
28
Current
Code
chapter
425,
subchapter
II,
provides
an
29
extraordinary
property
tax
credit
or
rent
reimbursement
30
for
certain
elderly
and
disabled
persons
in
addition
to
the
31
homestead
property
tax
credit.
The
amount
of
the
property
tax
32
credit
or
rent
reimbursement
is
determined
in
accordance
with
a
33
schedule,
adjusted
for
inflation,
based
on
the
income
of
the
34
claimant,
ranging
from
a
credit
or
rent
reimbursement
of
25
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percent
of
property
taxes
due
or
rent
constituting
property
1
taxes
paid
up
to
100
percent
for
those
in
the
lowest
income
2
bracket.
3
This
bill
modifies
the
credit
amount
for
a
claimant
who
has
4
attained
the
age
of
65
to
be
100
percent
of
the
property
taxes
5
due
or
rent
constituting
property
taxes
paid
regardless
of
6
income
and
by
removing
the
$1,000
credit
or
rent
reimbursement
7
limit
for
those
claimants.
8
The
bill
also
makes
corresponding
changes
to
other
9
provisions
of
Code
chapter
425.
10
The
bill
takes
effect
upon
enactment
and
applies
to
property
11
taxes
due
and
payable
in
fiscal
years
beginning
on
or
after
12
July
1,
2021.
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