Bill

Bill > SB0238


IN SB0238

IN SB0238
Property and local income taxes.


summary

Introduced
01/08/2026
In Committee
01/08/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Session

Bill Summary

Property and local income taxes. Amends provisions added in SEA 1 in the 2025 session that require the department of local government finance to neutralize the effect of certain property tax provisions enacted in that bill. Amends the threshold for the business personal property tax exemption enacted in SEA 1 in the 2025 session. Reinstates excess tax levy appeal provisions that were repealed in SEA 1 in the 2025 session. Amends the various local income tax (LIT) rates that may be adopted under provisions added in SEA 1 in the 2025 session. Amends the population thresholds used to determine if a city or town is eligible to adopt a municipal LIT. Repeals provisions that require counties and municipalities to readopt their LIT rate each year. Moves the effective date for the local income tax changes enacted in SEA 1 in the 2025 session from 2028 to 2029. Makes corresponding changes to move the expiration date regarding a county with a single voting bloc enacted in HEA 1142 in the 2025 session.

AI Summary

This bill makes several changes to property and local income tax laws, primarily by adjusting effective dates and thresholds established in previous legislation (SEA 1 in the 2025 session). Key provisions include modifying how the Department of Local Government Finance neutralizes the impact of certain property tax changes on tax increment financing allocation areas, increasing the threshold for the business personal property tax exemption to $1,000,000 in assessed value, and reinstating provisions for appealing excess tax levies. It also alters various local income tax (LIT) rates, adjusts population requirements for cities and towns to adopt a municipal LIT, and delays the effective date for these LIT changes from 2028 to 2029. Additionally, the bill modifies the expiration dates for certain provisions related to counties with a single voting bloc and makes technical adjustments to tax rate calculations and distributions.

Committee Categories

Budget and Finance

Sponsors (2)

Last Action

Senator Doriot added as second author (on 01/20/2026)

bill text


bill summary

Loading...

bill summary

Loading...
Loading...