2951 AMH .... H5112.2
HB 2951 - H AMD TO H AMD (H-5110.1/96) 220 FAILED 2-12-96
By Representatives Dickerson and Morris
Beginning on page 1, after line 5 of the amendment, strike the remainder of the amendment and insert the following:
"Sec. 1. RCW 84.38.010 and 1975 1st ex.s. c 291 s 26 are each amended to read as follows:
(1) The legislature
finds that savings once deemed adequate for retirement living have been
rendered inadequate by increased tax rates, increased property values, and the
failure of pension systems to adequately reflect such factors. It is therefore
deemed necessary that the legislature, in addition to that tax exemption as
provided for in RCW 84.36.381 through 84.36.389 as now or hereafter amended,
allow retired persons to defer payment of special assessments on their
residences, and to defer their real property tax obligations on their
residences, an amount of up to eighty percent of their equity in said
property. ((This deferral program)) The deferral provided under RCW
84.38.030 is intended to assist retired persons in maintaining their
dignity and a reasonable standard of living by residing in their own homes,
providing for their own needs, and managing their own affairs without requiring
assistance from public welfare programs.
(2) The legislature also finds that large and unanticipated increases in taxes on residential property, usually attributable to rapid increases in property values, cause undue and excessive hardships for many homeowners. These increased tax burdens put many of these homeowners at risk of being unable to remain in their residences and maintain their property. Temporary financial hardships, such as unemployment or medical costs, may also cause some homeowners to have insufficient resources to pay property tax bills. The legislature therefore intends to provide such distressed taxpayers with the ability to defer taxes due so that they will be able to remain in their homes while still paying an equitable share of the overall property tax burden.
NEW SECTION. Sec. 2. A new section is added to chapter 84.38 RCW to read as follows:
A claimant may defer payment of that amount of real property taxes that exceeds six percent of the claimant's combined disposable income, but not to exceed two thousand five hundred dollars per year, if the following conditions are met:
(1) The property taxes must have been imposed upon a residence that was occupied by the claimant as a principal place of residence as of January 1st of the year in which the taxes are due, subject to the exceptions allowed under RCW 84.36.381(1);
(2) The total amount deferred by a claimant under this chapter may not exceed eighty percent of the claimant's equity value in the claimant's residence; and
(3) The claimant must meet the conditions of RCW 84.38.030 (4) and (5).
Sec. 3. RCW 84.38.050 and 1979 ex.s. c 214 s 8 are each amended to read as follows:
(1)(a) Declarations to defer property taxes for all years following the first year under RCW 84.38.030 may be made by filing with the county assessor no later than thirty days before the tax is due a renewal form in duplicate, prescribed by the department of revenue and supplied by the county assessor, which affirms the continued eligibility of the claimant.
(b) In January of each year, the county assessor shall send to each claimant who has been granted deferral of ad valorem taxes for the previous year under RCW 84.38.030 renewal forms and notice to renew.
(2) Declarations to defer special assessments shall be made by filing with the assessor no later than thirty days before the special assessment is due on a form to be prescribed by the department of revenue and supplied by the county assessor. Upon approval, the full amount of special assessments upon such claimant's residence shall be deferred but not to exceed an amount equal to eighty percent of the claimant's equity value in said property."
Renumber the sections consecutively and correct internal references and the title accordingly.
EFFECT: Creates a property tax deferral program for homeowners of all ages.
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