Bill > HB836

This bill establishes a property tax deferral loan program designed to help certain senior citizens and active-duty military members manage increasing property taxes. Specifically, the program allows qualifying property owners to take out a loan to cover property tax increases above their 2022 tax levels, with eligibility restricted to Montana residents who are 62 or older with at least 20% home equity, active-duty military members, or surviving spouses who meet certain criteria. The loan amount is limited to the difference between current property taxes and 2022 taxes, accrues simple interest at the prime mortgage rate or 5% (whichever is lower), and becomes payable upon the death of the property owner, sale of the property, or if fraudulent information was provided. The state will initially fund the program with $6 million, which will be managed by the Board of Housing, and the loans will be secured by a lien on the qualifying residence. Surviving spouses may be able to assume the loan if they meet the program's eligibility requirements. The bill also requires the Board of Housing to adopt rules for implementing the program and mandates that tax notices and other official documents include information about this new property tax assistance option.

Budget and Finance

https://bills.legmt.gov/#/laws/bill/2/LC3693