Bill > S2268

This bill allows the city of Chelsea to offer a new residential tax exemption, which is a reduction in property taxes for homeowners. Specifically, it permits Chelsea, if its city manager and city council agree, to provide an exemption of up to 35% of the average assessed value of all residential properties within the city. This exemption would only apply to a taxpayer's primary residence, meaning the home they live in and use for income tax purposes, and would be in addition to any other property tax exemptions they might already qualify for. However, even with this new exemption, the taxable value of a property cannot be reduced to less than 10% of its full and fair cash valuation, which is the property's true market value, except under specific circumstances outlined in other laws. The bill also establishes a process for taxpayers to apply for this exemption if they believe they were wrongly denied it, requiring them to submit a written application to the city's board of assessors within three months of receiving their tax bill. This new exemption would be effective for taxes levied for fiscal years beginning on or after July 1, 2016.