2003 Senate Bill 133 ↩

House Roll Call 416: Passed

To replace references to “homestead” in the General Property Tax Act with the term “principle residence.” The definition in the Act would be the same as that now used for “homestead.” Recent testimony indicates that some homeowners eligible for lower “homestead” rates on property tax levies have been confused by the existence of an unrelated “homestead income tax credit" for low income persons, and have therefore failed to fill out a required “homestead affidavit” certifying that their home is their principle residence. Unlike the income tax credit, the lower property tax rate on a person’s principle residence does not depend on income, but the affidavit is required to get the lower rate. The bill would also exempt from personal property tax commercial aircraft used for intrastate travel. Commercial aircraft used for interstate travel are already exempt, and intrastate aircraft have not been subject to the tax since 1988 under Treasury Department rulings. The substitute would make this regulatory exemption more permanent by placing it in statute.