The local deductions in the foundation formula would be reduced, thereby increasing the cost to fully fund the formula. It is not known if this impact on the formula would be significant. No direct fiscal impact to small businesses would be expected as a result of this proposal. The taxpayer claiming the exemption is required to submit to the assessor, by March 1 of each year, a statement of household income. The governing authority is required to submit a copy of the ordinance to the local assessor by December 1 of each year.
Persons receiving the circuit breaker tax credit are still eligible for the homestead exemption.
The act applies to all taxable years beginning after December 31, 1999. This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.