2001 Legislation
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HOUSE BILL NO. 299 – Property tax relief/income redefine


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Daily Data Tracking History

H0299...............................................by REVENUE AND TAXATION
PROPERTY TAX - Amends existing law relating to property tax relief to
provide a deduction for certain expenses related to funerals in the
determination of income.
02/20    House intro - 1st rdg - to printing
02/21    Rpt prt - to Rev/Tax
03/05    Rpt out - rec d/p - to 2nd rdg
03/06    2nd rdg - to 3rd rdg
03/09    3rd rdg - PASSED - 64-0-6
      AYES -- Barraclough, Barrett, Bedke, Bell, Bieter, Black, Boe, Bolz,
      Bradford, Bruneel, Callister, Campbell, Chase, Collins, Cuddy, Deal,
      Denney, Ellis, Ellsworth, Eskridge, Field(13), Field(20), Gagner,
      Hadley, Harwood, Henbest, Higgins, Hornbeck, Jaquet, Jones, Kellogg,
      Kendell, Kunz, Lake, Langford, Loertscher, Mader, Marley, McKague,
      Meyer, Montgomery, Mortensen, Moss, Moyle, Pearce, Pischner, Pomeroy,
      Raybould, Ridinger, Roberts, Robison, Sali, Schaefer, Sellman,
      Shepherd, Smith, Smylie, Stevenson, Stone, Swan, Tilman, Trail,
      Wheeler, Young
      NAYS -- None
      Absent and excused -- Clark, Crow, Gould, Hammond, Wood, Mr. Speaker
    Floor Sponsor -- Sellman
    Title apvd - to Senate
03/12    Senate intro - 1st rdg - to Loc Gov
03/19    Rpt out - to 14th Ord
03/28    Rpt out NOT amen - to 2nd rdg
    Rls susp - PASSED - 35-0-0
      AYES -- Andreason, Boatright, Branch, Brandt, Bunderson, Burtenshaw,
      Cameron, Danielson, Darrington, Davis, Deide, Dunklin, Frasure,
      Geddes, Goedde, Hawkins, Ingram, Ipsen, Keough, King-Barrutia, Lee,
      Lodge, Noh, Richardson, Risch, Sandy, Schroeder, Sims, Sorensen,
      Stegner, Stennett, Thorne, Wheeler, Whitworth, Williams
      NAYS -- None
      Absent and excused -- None
    Floor Sponsor -- Frasure
    Title apvd - to House
03/29    To enrol - rpt enrol - Sp signed - Pres signed
03/30    To Governor
04/04    Governor signed
         Session Law Chapter 325
         Effective: 07/01/01

Bill Text

  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-sixth Legislature                  First Regular Session - 2001
                              IN THE HOUSE OF REPRESENTATIVES
                                     HOUSE BILL NO. 299
                             BY REVENUE AND TAXATION COMMITTEE
  1                                        AN ACT
  5    Be It Enacted by the Legislature of the State of Idaho:
  6        SECTION 1.  That Section 63-701, Idaho Code, be, and the  same  is  hereby
  7    amended to read as follows:
  8        63-701.  DEFINITIONS. As used in this chapter:
  9        (1)  "Claimant"  means a person who has filed a claim under the provisions
 10    of sections 63-701 through 63-710, Idaho Code. Except as provided  in  section
 11    63-702(2), Idaho Code, on January 1 of the year in which the claim was filed a
 12    claimant must be an owner of a homestead and be:
 13        (a)  Not less than sixty-five (65) years old; or
 14        (b)  A  fatherless  or  motherless  child  under  the age of eighteen (18)
 15        years; of age; or
 16        (c)  A widow or widower; or
 17        (d)  A disabled person who is recognized as disabled by the  social  secu-
 18        rity  administration pursuant to title 42 of the United States Code, or by
 19        the railroad retirement board pursuant to title 45 of  the  United  States
 20        Code, or by the office of management and budget pursuant to title 5 of the
 21        United States Code; or
 22        (e)  A  disabled veteran of any war engaged in by the United States, whose
 23        disability is recognized as a service-connected disability of a degree  of
 24        ten  percent  (10%) or more, or who has a pension for nonservice-connected
 25        disabilities, in accordance with laws and regulations administered by  the
 26        United States veterans administration; or
 27        (f)  A  person  as  specified in 42 U.S.C. 1701, who was or is entitled to
 28        receive benefits because he is known to have been taken by a hostile force
 29        as a prisoner, hostage or otherwise; or
 30        (g)  Blind.
 31        (2)  "Homestead" means the dwelling, owner-occupied by  the  claimant  and
 32    used as the primary dwelling place of the claimant and occupied by any members
 33    of  the  household  as their home, and so much of the land surrounding it, not
 34    exceeding one (1) acre, as is reasonably necessary for the use of the dwelling
 35    as a home. It may consist of a part of a multidwelling or multipurpose  build-
 36    ing  and part of the land upon which it is built. "Homestead" does not include
 37    personal property such as furniture, furnishings or appliances, but a manufac-
 38    tured home may be a homestead.
 39        (3)  "Household" means the claimant and any person or persons who live  in
 40    the  same  dwelling,  and share its furnishings, facilities, accommodations or
 41    expenses. The term includes any person owing a duty of support to  the  appli-
 42    cant pursuant to section 32-1002, Idaho Code, unless the person qualifies as a
 43    "nonhousehold  member"  pursuant  to  subsection (6) of this section. The term
  1    does not include bona fide lessees, tenants, or roomers and boarders  on  con-
  2    tract.  "Household"  includes  persons  described in subsection (9)(b) of this
  3    section.
  4        (4)  "Household income" means all income received  by  all  persons  of  a
  5    household in a calendar year while members of the household.
  6        (5)  "Income" means the sum of federal adjusted gross income as defined in
  7    the  iInternal  rRevenue cCode, as defined in section 63-3004, Idaho Code, and
  8    to the extent not already included in federal adjusted gross income,  alimony,
  9    support  money, income from inheritances, nontaxable strike benefits, the non-
 10    taxable amount of any  individual  retirement  account,  pension  or  annuity,
 11    (including  railroad retirement benefits, all payments received under the fed-
 12    eral social security act, state unemployment insurance laws, and veterans dis-
 13    ability pensions and compensation, excluding rollovers as provided in  section
 14    402 or 403 of the iInternal rRevenue cCode), nontaxable interest received from
 15    the  federal  government or any of its instrumentalities or a state government
 16    or any of its instrumentalities, worker's compensation and the gross amount of
 17    loss of earnings insurance. It does not include capital gains, gifts from non-
 18    governmental sources or inheritances. To the extent not  reimbursed,  cost  of
 19    medical  care  as  defined  in section 213(d) of the iInternal rRevenue cCode,
 20    incurred by the household may be deducted from income. To the extent not reim-
 21    bursed, personal funeral expenses, including prepaid funeral expenses and pre-
 22    miums on funeral insurance, of the claimant and claimant's spouse only, may be
 23    deducted from income up to an annual maximum of five thousand dollars ($5,000)
 24    per claim. "Income" does not include veterans disability pensions received  by
 25    a  person  described  in  subsection  (1)(e) who is a claimant or a claimant's
 26    spouse, provided however, that the disability pension is received pursuant  to
 27    a  service-connected  disability  of  a degree of forty percent (40%) or more.
 28    "Income" does not include lump sum death benefits made by the social  security
 29    administration pursuant to 42 U.S.C. section 402(i).  Documentation of medical
 30    expenses  may  be  required  by the county assessor, board of equalization and
 31    state tax commission. "Income" shall be that received  in  the  calendar  year
 32    immediately  preceding  the  year  in which a claim is filed. Where a claimant
 33    does not file a federal tax  return  the  claimant's  federal  adjusted  gross
 34    income, for purposes of this section, shall be an income equivalent to federal
 35    adjusted gross income had the claimant filed a federal tax return.
 36        (6)  "Nonhousehold member" means any nonspouse who lives in the claimant's
 37    dwelling  for  the  purpose  of providing protective oversight, caregiving, or
 38    personal assistance services to the claimant, or who is  receiving  disability
 39    benefits  pursuant to subsection (1)(d) or (e) of this section, or who is over
 40    age sixty-five (65) years and lives in the claimant's  dwelling  and  receives
 41    protective  oversight,  caregiving or personal assistance services provided by
 42    the claimant.
 43        (7)  "Occupied" means actual use and possession.
 44        (8)  "Owner" means a person holding title in fee simple or holding a  cer-
 45    tificate  of  motor vehicle title (either of which may be subject to mortgage,
 46    deed of trust or other lien) or who has retained or been granted a life estate
 47    or who is a person entitled to file a claim under section 63-702, Idaho  Code.
 48    "Owner"  shall  also  include any person who as grantor created a revocable or
 49    irrevocable trust and named himself as beneficiary of that trust, or who is  a
 50    partner  of  a  limited  partnership, member of a limited liability company or
 51    shareholder of a corporation which holds title in fee simple or holds  a  cer-
 52    tificate  of  motor  vehicle  title or who has retained or been granted a life
 53    estate. "Owner" shall not include any person that otherwise occupies  property
 54    as  beneficiary  of  a  trust. "Owner" includes a vendee in possession under a
 55    land sale contract. Any partial ownership shall be  considered  ownership  for
  1    determining  qualification  for  property tax reduction benefits, however, the
  2    amount of property tax reduction under section 63-704, Idaho Code,  and  rules
  3    promulgated  pursuant  to section 63-705, Idaho Code, shall be computed on the
  4    value of the claimant's partial ownership. "Partial ownership," for  the  pur-
  5    poses   of this section, means any one (1) person's ownership when property is
  6    owned by more than one (1) person. A person holding either  partial  title  in
  7    fee  simple  or  holding  a  certificate  of motor vehicle title together with
  8    another person but who does not occupy the dwelling as  his  primary  dwelling
  9    place,  shall not be considered an owner for purposes of this section, if such
 10    person is a cosignatory of a note secured by the dwelling in question  and  at
 11    least  one (1) of the other cosignatories of the note occupies the dwelling as
 12    his primary dwelling place. The combined community property interests of  both
 13    spouses  shall not be considered partial ownership. The proportional reduction
 14    required under this subsection shall not apply to  community  property  inter-
 15    ests.  Where title to property is held by a person who has died without timely
 16    filing a claim for property tax reduction, the estate shall be the "owner."
 17        (9)  (a) "Primary dwelling place" means the claimant's dwelling  place  on
 18        January  1  of the year for which the claim is made. The primary  dwelling
 19        place is the single place where a claimant has his true, fixed and  perma-
 20        nent  home and principal establishment, and to which whenever the individ-
 21        ual is absent he has the intention of returning. A claimant must establish
 22        the dwelling to which the claim relates as his primary dwelling  place  by
 23        clear  and  convincing  evidence  or  by establishing that the dwelling is
 24        where the claimant resided on January 1 and:
 25             (i)   At least six (6) months during the prior year; or
 26             (ii)  The majority of the time the claimant  owned  the  dwelling  if
 27             owned by the claimant less than one (1) year; or
 28             (iii) The  majority of the time after the claimant first occupied the
 29             dwelling if occupied by the claimant less than one (1) year.
 30        (b)  Notwithstanding the provisions of paragraph (a) of  this  subsection,
 31        the  property upon which the claimant makes application shall be deemed to
 32        be the claimant's primary dwelling place  if  the  claimant  is  otherwise
 33        qualified  and  resides in a care facility and does not allow the property
 34        upon which the claimant has made application to  be  occupied  by  persons
 35        paying  a  consideration  to  occupy the dwelling. A claimant's spouse who
 36        resides in a care facility shall be deemed to  reside  at  the  claimant's
 37        primary  dwelling  place  and  to be a part of the claimant's household. A
 38        care facility is a hospital, nursing facility or intermediate care  facil-
 39        ity  for  the mentally retarded as defined in section 39-1301, Idaho Code,
 40        or a facility as defined in section 39-3302(16), Idaho Code, or a dwelling
 41        other than the one upon which the  applicant  makes  application  where  a
 42        claimant  who  is unable to reside in the dwelling upon which the applica-
 43        tion is made lives and receives help in daily living, protection and secu-
 44        rity.

Statement of Purpose / Fiscal Impact

                     STATEMENT OF PURPOSE
                           RS 11150
This legislation adds funeral costs as deductions from the income of
the circuit breaker applicant. Funeral expenses, premiums, and
pre paid costs may be deducted up to an annual maximum of $5000 per
claimant as long as any reimbursements have been subtracted.

                         FISCAL IMPACT
There will be a fiscal impact of approximately $230,000.


     Name:   Rep.Sher Sellman
     Phone:  332 1000