CSSB 4(FIN): "An Act relating to a mandatory exemption from municipal property taxes for certain residences and to an optional exemption from municipal taxes for residential property; and providing for an effective date."
00 CS FOR SENATE BILL NO. 4(FIN) 01 "An Act relating to a mandatory exemption from municipal property taxes for certain 02 residences and to an optional exemption from municipal taxes for residential property; 03 and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 29.45.030(e) is amended to read: 06 (e) The real property owned and occupied as the primary residence and 07 permanent place of abode by a (1) resident 65 years of age or older; (2) disabled 08 veteran; or (3) resident at least 60 years old who is the widow or widower of a person 09 who qualified for an exemption under (1) or (2) of this subsection [,] is exempt from 10 taxation on the first $150,000 of the assessed value of the real property. A 11 municipality may, in case of hardship, provide for exemption beyond the first 12 $150,000 of assessed value in accordance with regulations of the department. Only 13 one exemption may be granted for the same property and, if two or more persons are 14 eligible for an exemption for the same property, the parties shall decide between or
01 among themselves who is to receive the benefit of the exemption. Real property may 02 not be exempted under this subsection if the assessor determines, after notice and 03 hearing to the parties, that the property was conveyed to the applicant primarily for the 04 purpose of obtaining the exemption. The determination of the assessor may be 05 appealed under AS 44.62.560 - 44.62.570. A municipality may by ordinance 06 provide that, if property is transferred during the year for which an exemption 07 has been granted under this subsection to a person who does not qualify for the 08 exemption, the exemption ceases on the date of the transfer. The municipality 09 shall calculate a pro rata share of the amount of taxes that would have been 10 levied for the year on the property had it not been granted an exemption under 11 this subsection and shall notify the new owner of the additional amount of taxes. 12 Payment of the additional amount of taxes is due 60 days after the notice is 13 provided to the new owner. 14 * Sec. 2. AS 29.45.050(a) is amended to read: 15 (a) A municipality may exclude or exempt or partially exempt residential 16 property from taxation by ordinance ratified by the voters at an election. An 17 exclusion or exemption authorized by this subsection may not be applied with 18 respect to taxes levied in a service area to fund the special services. An exclusion 19 or exemption authorized by this subsection [SECTION] may not exceed the assessed 20 value of $10,000 for any one residence in a municipality with a level of total 21 bonded indebtedness that equals or exceeds $15,000 multiplied by the number of 22 residents in the municipality. Otherwise, an exclusion or exemption authorized 23 by this subsection may not exceed the assessed value of $30,000 or 20 percent of 24 the assessed value, whichever is less, for any one residence. 25 * Sec. 3. This Act takes effect January 1, 2002.