JEFFERSON CITY — A potential fix to a property tax break for some Missouri seniors is heading to Gov. Mike Parson’s desk.
As lawmakers finished up their business for the year Friday, the House gave its stamp of approval to a handful of updates to a law signed last year allowing counties to stop real property tax increases for certain seniors.
The measure, approved on a 139-0 vote, clarifies that eligible homeowners must be 62 or older to receive the benefit.
Under current law, the tax freeze was limited to homeowner taxpayers eligible for Social Security benefits, potentially excluding some seniors who don’t participate in Social Security such as teachers.
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The House removed a provision inserted in the Senate that would have required taxpayers to pay all delinquent taxes, interest and penalties to the county to be eligible for the relief.
“This doesn’t absolve them… but it does stop it from becoming worse,†said Rep. Ben Keathley, R-Chesterfield, who handled the bill in the House.
Instead of giving localities more authority, language included in the measure would forbid any county procedure to limit “the definition or scope of ‘eligible credit amount’ or ‘eligible taxpayer’ as defined†in state law.
That could affect and ºüÀêÊÓƵ County, which added home value caps of $500,000 and $550,000, respectively.
The law says county collectors are to report the property tax credit amount on statements of taxes due sent to taxpayers.
Another addition to last year’s law seeks to close a loophole enabling someone to purchase a low-value property, lock in a low property tax, and then dramatically increase the property’s value through major improvements to the property.
And, if a new taxing jurisdiction annexes a property owned by someone receiving the benefit, the person’s tax liability would also be increased to reflect the new taxes owed.
ºüÀêÊÓƵ County expects to make senior property tax freeze applications available by July after the County Council finally approved money to get the program off the ground.
The county’s revenue department had requested $1.8 million from the council. The legislation passed Tuesday provides $300,000 for software and personnel.
“We need to give the counties the confidence to move forward,†Keathley said.
The legislation is Senate Bill