Bill > S1111

This bill amends and adds to existing law to provide for homeowner property tax relief using state general and sales tax moneys. The key provisions of the bill are: 1. It creates a new "Homeowner Property Tax Relief" program, which will use state sales tax moneys to provide property tax relief to homeowners receiving the homestead exemption. The State Tax Commission will calculate the eligible property taxes for each qualifying homestead and then distribute state funds to the counties to provide a credit on the property tax bills. 2. It adjusts the income limitations and property tax reduction amounts for the existing Property Tax Reduction ("Circuit Breaker") program, increasing the income limit and maximum reduction amounts. 3. It directs a one-time $75 million cash transfer from the General Fund to the new Homeowner Property Tax Relief Account to fund the first year of the program, and then provides for additional $150 million annual transfers from General Fund excess cash balances in fiscal years 2023-2025 to further support the program. 4. It amends the sales tax distribution statute to allocate 4.5% of sales tax revenues to the new Homeowner Property Tax Relief Account starting in fiscal year 2024 to provide ongoing funding for the program.

Budget and Finance, Justice

State Affairs Committee (Senate)

https://legislature.idaho.gov/sessioninfo/2023/legislation/S1111/