2003 Legislation
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HOUSE BILL NO. 101 – Property tax relief, claimant


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Daily Data Tracking History

H0101.................................................................by TRAIL
PROPERTY TAX - RELIEF - Amends existing law to provide that, for the circuit
breaker property tax relief program, a person is deemed disabled who is
prevented from engaging in any occupation or employment for remuneration or
profit as a result of bodily injury, mental or emotional impairment or
disease, either occupational or nonoccupational in cause, which fact is
certified by two licensed physicians.
01/23    House intro - 1st rdg - to printing
01/24    Rpt prt - to Rev/Tax

Bill Text

  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-seventh Legislature                 First Regular Session - 2003
                              IN THE HOUSE OF REPRESENTATIVES
                                     HOUSE BILL NO. 101
                                          BY TRAIL
  1                                        AN ACT
  5        APPLICATION.
  6    Be It Enacted by the Legislature of the State of Idaho:
  7        SECTION  1.  That  Section  63-701, Idaho Code, be, and the same is hereby
  8    amended to read as follows:
  9        63-701.  DEFINITIONS. As used in this chapter:
 10        (1)  "Claimant" means a person who has filed a claim under the  provisions
 11    of  sections  63-701 through 63-710, Idaho Code. Except as provided in section
 12    63-702(2), Idaho Code, on January 1 of the year in which the claim was filed a
 13    claimant must be an owner of a homestead and be:
 14        (a)  Not less than sixty-five (65) years old; or
 15        (b)  A child under the age of eighteen (18) years  who  is  fatherless  or
 16        motherless  or  who has been abandoned by any surviving parent or parents;
 17        or
 18        (c)  A widow or widower; or
 19        (d)  A disabled person who is recognized as disabled by the  social  secu-
 20        rity  administration pursuant to title 42 of the United States Code, or by
 21        the railroad retirement board pursuant to title 45 of  the  United  States
 22        Code, or by the office of management and budget pursuant to title 5 of the
 23        United  States Code, or who is disabled and as a result is  prevented from
 24        engaging in any occupation or employment for remuneration or profit  as  a
 25        result of bodily injury, mental or emotional impairment or disease, either
 26        occupational  or  nonoccupational  in cause and which fact is certified by
 27        two (2) licensed physicians; or
 28        (e)  A disabled veteran of any war engaged in by the United States,  whose
 29        disability  is recognized as a service-connected disability of a degree of
 30        ten percent (10%) or more, or who has a pension  for  nonservice-connected
 31        disabilities,  in accordance with laws and regulations administered by the
 32        United States veterans administration; or
 33        (f)  A person, as specified in 42 U.S.C. 1701, who was or is  entitled  to
 34        receive benefits because he is known to have been taken by a hostile force
 35        as a prisoner, hostage or otherwise; or
 36        (g)  Blind.
 37        (2)  "Homestead"  means  the  dwelling,  owner-occupied by the claimant as
 38    described in this chapter and used as the primary dwelling place of the claim-
 39    ant and may be occupied by any members of the household as their home, and  so
 40    much  of the land surrounding it, not exceeding one (1) acre, as is reasonably
 41    necessary for the use of the dwelling as a home. It may consist of a part of a
 42    multidwelling or multipurpose building and part of the land upon which  it  is
 43    built.  "Homestead" does not include personal property such as furniture, fur-
  1    nishings or appliances, but a manufactured home may be a homestead.
  2        (3)  "Household" means the claimant and the claimant's  spouse.  The  term
  3    does  not  include bona fide lessees, tenants, or roomers and boarders on con-
  4    tract. "Household" includes persons described in  subsection  (8)(b)  of  this
  5    section.
  6        (4)  "Household income" means all income received by the claimant and, if
  7    applicable, the claimant's spouse, in a calendar year.
  8        (5)  "Income" means the sum of federal adjusted gross income as defined in
  9    the  Internal  Revenue Code, as defined in section 63-3004, Idaho Code, and to
 10    the extent not already included in federal adjusted gross income:
 11        (a)  Alimony;
 12        (b)  Support money;
 13        (c)  Nontaxable strike benefits;
 14        (d)  The nontaxable amount of any individual retirement  account,  pension
 15        or annuity, (including railroad retirement benefits, all payments received
 16        under  the  federal  social  security act except the social security death
 17        benefit as specified in  this  subsection,  state  unemployment  insurance
 18        laws,   and  veterans  disability  pensions  and  compensation,  excluding
 19        rollovers as provided in section 402 or 403 of the Internal Revenue Code);
 20        (e)  Nontaxable interest received from the federal government  or  any  of
 21        its  instrumentalities  or a state government or any of its instrumentali-
 22        ties;
 23        (f)  Worker's compensation; and
 24        (g)  The gross amount of loss of earnings insurance.
 25    It does not include capital  gains,  gifts  from  nongovernmental  sources  or
 26    inheritances.  To  the  extent  not  reimbursed,  the  cost of medical care as
 27    defined in section 213(d) of the Internal Revenue Code, incurred  or  paid  by
 28    the  claimant  and/or,  if  applicable, the claimant's spouse, may be deducted
 29    from income. To the extent not reimbursed, personal funeral expenses,  includ-
 30    ing  prepaid funeral expenses and premiums on funeral insurance, of the claim-
 31    ant and claimant's spouse only, may be deducted from income up  to  an  annual
 32    maximum of five thousand dollars ($5,000) per claim. "Income" does not include
 33    veterans  disability  pensions  received  by  a person described in subsection
 34    (1)(e) who is a claimant or a claimant's spouse if the disability  pension  is
 35    received  pursuant to a service-connected disability of a degree of forty per-
 36    cent (40%) or more. "Income" does not include lump sum death benefits made  by
 37    the social security administration pursuant to 42 U.S.C. section 402(i). Docu-
 38    mentation of medical expenses may be required by the county assessor, board of
 39    equalization  and  state  tax  commission in such form as the county assessor,
 40    board of equalization or state tax commission shall determine. "Income"  shall
 41    be  that received in the calendar year immediately preceding the year in which
 42    a claim is filed. Where a claimant and/or the claimant's spouse does not  file
 43    a  federal  tax  return, the claimant's and/or the claimant's spouse's federal
 44    adjusted gross income, for purposes of this section, shall be an income equiv-
 45    alent to federal adjusted gross income had the claimant and/or the  claimant's
 46    spouse  filed  a federal tax return, as determined by the county assessor. The
 47    county assessor, board of equalization or state  tax  commission  may  require
 48    documentation  of  income in such form as each shall determine, including, but
 49    not limited to: copies of federal or state tax  returns  and  any  attachments
 50    thereto; and income reporting forms such as the W-2 and 1099.
 51        (6)  years "Occupied" means actual use and possession.
 52        (7)  "Owner"  means a person holding title in fee simple or holding a cer-
 53    tificate of motor vehicle title (either of which may be subject  to  mortgage,
 54    deed of trust or other lien) or who has retained or been granted a life estate
 55    or  who is a person entitled to file a claim under section 63-702, Idaho Code.
  1    "Owner" shall also include any person who:
  2        (a)  As grantor, or whose spouse as grantor, created a revocable or irrev-
  3        ocable trust and was named as a beneficiary of that trust; or
  4        (b)  Is the beneficiary of a revocable or irrevocable trust which  is  the
  5        owner    of  such homestead and under which the claimant or the claimant's
  6        spouse has the primary right of occupancy of the homestead; or
  7        (c)  Is a partner of a limited partnership, member of a limited  liability
  8        company  or shareholder of a corporation if such entity holds title in fee
  9        simple or holds a certificate of motor vehicle title  and  if  the  person
 10        holds at least a five percent (5%) ownership in such entity, as determined
 11        by the county assessor; or
 12        (d)  Has retained or been granted a life estate.
 13    "Owner"  includes  a vendee in possession under a land sale contract. Any par-
 14    tial ownership shall be considered as ownership for determining initial quali-
 15    fication for property tax reduction benefits; however, the amount of  property
 16    tax reduction under section 63-704, Idaho Code, and rules promulgated pursuant
 17    to  section  63-705,  Idaho  Code,  shall  be  computed  on  the  value of the
 18    claimant's partial ownership. "Partial ownership," for the  purposes  of  this
 19    section,  means  any one (1) person's ownership when property is owned by more
 20    than one (1) person or where the homestead is held by an entity, as set  forth
 21    in this subsection, but more than one (1) person has the right of occupancy of
 22    such homestead. A person holding either partial title in fee simple or holding
 23    a certificate of motor vehicle title together with another person but who does
 24    not occupy the dwelling as his primary dwelling place, shall not be considered
 25    an  owner  for  purposes of this section, if such person is a cosignatory of a
 26    note secured by the dwelling in question and at least one  (1)  of  the  other
 27    cosignatories of the note occupies the dwelling as his primary dwelling place.
 28    The combined community property interests of both spouses shall not be consid-
 29    ered  partial  ownership  so long as the combined community property interests
 30    constitute the entire ownership of the homestead, including where the  spouses
 31    are occupying a homestead owned by an entity, as set forth in this subsection,
 32    and the spouses have the primary right of occupancy of the homestead. The pro-
 33    portional  reduction  required under this subsection shall not apply to commu-
 34    nity property interests. Where title to property is held by a person  who  has
 35    died  without  timely filing a claim for property tax reduction, the estate of
 36    the deceased person shall be the "owner," provided that the time periods  dur-
 37    ing  which  the  deceased  person  held  such title shall be attributed to the
 38    estate for the computation of any time  periods  under  subsection  (8)(a)  or
 39    (8)(b) of this section.
 40        (8)  (a) "Primary  dwelling  place" means the claimant's dwelling place on
 41        January 1 of the year for which the claim is made. The  primary   dwelling
 42        place  is the single place where a claimant has his true, fixed and perma-
 43        nent home and principal establishment, and to which whenever the  individ-
 44        ual is absent he has the intention of returning. A claimant must establish
 45        the  dwelling  to which the claim relates to be his primary dwelling place
 46        by clear and convincing evidence or by establishing that the  dwelling  is
 47        where the claimant resided on January 1 and:
 48             (i)   At least six (6) months during the prior year; or
 49             (ii)  The  majority  of  the  time the claimant owned the dwelling if
 50             owned by the claimant less than one (1) year; or
 51             (iii) The majority of the time after the claimant first occupied  the
 52             dwelling  if occupied by the claimant for less than one (1) year. The
 53             county assessor may require written or other proof of  the  foregoing
 54             in such form as the county assessor may determine.
 55        (b)  Notwithstanding  the  provisions of paragraph (a) of this subsection,
  1        the property upon which the claimant makes application shall be deemed  to
  2        be  the  claimant's  primary  dwelling  place if the claimant is otherwise
  3        qualified and resides in a care  facility and does not allow the  property
  4        upon  which  the  claimant  has made application to be occupied by persons
  5        paying a consideration to occupy the dwelling. Payment of utilities  shall
  6        not  be  payment  of  a consideration to occupy the dwelling. A claimant's
  7        spouse who resides in a care facility shall be deemed  to  reside  at  the
  8        claimant's  primary  dwelling  place  and  to  be a part of the claimant's
  9        household. A care facility is a hospital, nursing facility or intermediate
 10        care facility for the mentally retarded as  defined  in  section  39-1301,
 11        Idaho  Code,  or a facility as defined in section 39-3302(16), Idaho Code,
 12        or a dwelling other than the one upon which the applicant  makes  applica-
 13        tion  where  a claimant who is unable to reside in the dwelling upon which
 14        the application is made lives and receives help in daily  living,  protec-
 15        tion and security.
 16        SECTION  2.  An  emergency  existing  therefor,  which emergency is hereby
 17    declared to exist, this act shall be in full force and effect on and after its
 18    passage and approval, and retroactively to January 1, 2003.

Statement of Purpose / Fiscal Impact

                       STATEMENT OF PURPOSE
                            RS 12567 Cl
This legislation amends Section 63-701, Idaho Code, to further
define the term "Claimant" and to provide retroactive application.
The amending language adds that two (2) licensed physicians can be
utilized to certify that a claimant who is disabled and as a result
is prevented from engaging in any occupation or employment for
remuneration or profit as a result of bodily injury or disease
either occupationally or nonoccupational in cause can qualify for
the circuit breaker property tax relief program as long as they
also meet all other requirements as outlined in Idaho Code, 63-710.

                                          FISCAL IMPACT
There is no fiscal impact on the state general fund.

              Name: Rep. Tom Trail
                     Phone:     322-1058
              Name: Rep. Shirley Ringo
       Phone:           332           -1232

STATEMENT OF PURPOSE/FISCAL NOTE                              H101