Bill > S1928

This bill proposes to allow cities and towns to establish a voter-approved limit on annual property tax increases for residential properties (Class One real estate). Specifically, the tax increase limit would be the lower of 3% or the annual Consumer Price Index (CPI) change for principal residences, with a maximum 10% increase for non-principal residences. The local government would need to hold a referendum where voters would decide whether to implement this tax assessment increase limit, with a simple majority vote required to approve. If approved, the tax increase limit would automatically apply, but would not impact property value increases from taxpayer-made improvements, would not apply when the property is sold or transferred, and would require homeowners to notify the local assessor within 30 days if they no longer use the property as their principal residence. The ballot question would be clearly worded to ask voters directly: "Shall the (city/town) of ________ be allowed to limit the annual increase on the total taxes assessed on real property classified as Class One, residential?" This provision aims to provide some property tax predictability and potential relief for homeowners by constraining annual assessment increases.

Budget and Finance

https://malegislature.gov/Bills/194/S1928