From: Tax Reform Action Coalition [trac.president@gmail.com]
Sent: Friday, June 27, 2008 11:35 AM
To: info@lakeviewcitizens.org
Subject: I have to apply for the 7% property tax cap?

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ABA UPDATE                      T R A C  NEWS June 27,2008 
In This Issue
What do you mean, I have to apply?
The 7% law - what it says

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DEADLINE ALERT! PLEASE READ AND FORWARD!
 
THE APPLICATION DEADLINE FOR THE LONG TERM HOMEOWNERS EXEMPTION IS MONDAY, JUNE 30, 2008.
 
YOU SHOULD HAVE RECEIVED AN APPLICATION IN THE MAIL FROM THE ASSESSOR'S OFFICE - IF YOU QUALIFIED.

1. You have to have occupied your property since January 1, 1997.

2. Your assessment increase in 2006 had to be more than $33,000 - you had to "blow the cap." Look at your 2nd installment tax bill and see if your  Homeowner's Exemption was higher than $1,700.00.  If it was - you qualify.  If it was lower than $1,700.00 - you do not qualify and did not get an application.

3. You must verify your income on the form sent out by the Assessor's office.  See the bill below for the two levels of relief.

CONFUSED, YET?

ASK your State Representative to meet with the Tax Reform Action Coalition to discuss the plan for Acquisition-Based Assessing - the fair and predictable method of assessing your property.
 
Click here to locate your State Representative
 
We reported last August that the Alternative General Homestead Exemption would be reduced from $33,000 in the first year to $26,000 in the second year (see article below).
 
And, that during the second year (which is now), people who have lived in their home more than ten years, earning less than $75,000 could receive a full 7% property assessment cap (no cap on the cap) - but for this you need to apply for the the long-time occupant homestead exemption.
 
Or, ten year homeowners earning $75,000 to $100,000 may apply for a 10% cap.  
 
CONFUSED, STILL?
 
CALL your State Representative and your State Senator with this message: 
 
"Meet with TRAC - learn about ABA, the fair and predictable system of Acquisition-Based Assessing."
 
QUESTION:  If I earn less than $75,000, will I get a better exemption if I apply for the long-time occupant homestead exemption?
ANSWER: That depends on whether your property value increase was great enough to give you more than the Alternative General Homestead Exemption.
QUESTION: Can I apply for the long-time occupant homestead exemption online.
ANSWER: No, it's not available online.
QUESTION: Isn't there a better, simpler method of calculating property taxes?  One that is fair for all properties?
ANSWER: Yes.  Read about it on our Resource page on the TRAC Website. Click here for Q&A about ABA.
 
REMEMBER, if you don't qualify for the long-time occupant homestead exemption, the Alternative General Homestead Exemption will be reduced again to $20,000 next year.
 
CONTACT your State Representative and your State Senator with this message:
 
"Meet with TRAC to learn about Acquisition-Based Assessing - for fairness and predictability." 
 
 

 
 
WHAT THE LAW SAYS in

While this legislation will provide the greatest relief in the first year - we are very concerned with what will happen to homeowners who do not qualify for the Long-Time Occupant Homestead Exemption (10 years + income restrictions).  These homeowners are going to be faced with huge increases in the second and third years.

 
This legislation also does not achieve our goal of predictability and a clear and transparent property tax system. 
 
We vow to continue the fight for property tax REFORM. 
 
Stay with us for  ACQUISITION-BASED ASSESSING.
 
 
To the bill:
Essentially, law changed the Alternative General Homestead exemption (the 7% cap)  to:
 
$33,000 exemption in the first year
 
$26,000 exemption in the second year
 
and $20,000 exemption in the third year.
 
The intent of this bill is to "phase out" the Alternative General Homestead Exemption (the 7% cap), and replace it with a Long-Time Occupant Homestead Exemption.
 
The Long-Time Occupant Homestead Exemption would apply to those who reside in their homes ten years or more, and who earn under $75,000 household income - to get a 7% assessment cap.
 
Those who have a household income of $75,000 - $100,000 would qualify for a 10% cap.
 
The Long-Time Occupant Homestead Exemption is now taking effect in the second year of the legislation.
 
 
The law includes:
- Disabled veterans exemption
- Returning Veteran's homestead exemption (one-time benefit)
- Disabled persons' homestead exemption
- Disabled veterans standard homestead exemption
- An increase to the senior citizens homestead exemption
- An increase in the senior citizens assessment freeze homestead exemption
- An abatement for the residence of a surviving spouse of a fallen police officer or rescue worker
 
The law also establishes a Property Tax Reform and Relief Task Force selected from the House and the Senate.
 
   
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