Source: http://www.leg.state.vt.us/docs/legdoc.cfm?URL=/docs/2006/acts/ACT038.HTM
Timestamp: 2017-10-17 02:03:46
Document Index: 530935798

Matched Legal Cases: ['§ 4028', '§ 3412', '§ 2804', '§ 5401', '§ 5401', '§ 6066', '§ 6066', '§ 3802']

NO. 38. AN ACT RELATING TO APPRAISALS AND EDUCATION FINANCE.
(h) The filing of a new or corrected declaration or rescission of an erroneous declaration, on or before December 1 July 15 of the property tax year that is not reflected in the first education fund payment under 16 V.S.A. § 4028 for that fiscal year or in a municipality’s first payment to the education fund under subsection 5402(c) of this title for that fiscal year shall be reflected in the final net payment to or from the education fund for that fiscal year. The municipality may retain one-eighth of one percent of the tax collected. Any reduction in tax paid to a municipality due to a new, revised, or rescinded declaration shall be paid by the municipality to the taxpayer no later than May 15 of the fiscal year. No later than June 1, each municipality shall provide to the state treasurer a list of taxpayers who filed late or corrected declarations or rescinded declarations, the amount of the change in education tax, and the amount of any interest and penalty billed the taxpayer.
(i) An owner filing a new or corrected declaration, or rescinding an erroneous declaration, on December 1 or after July 15 shall not be entitled to a refund resulting from the correct property classification; and any additional property tax and interest which would result from the correct classification shall not be assessed as tax and interest, but shall instead constitute an additional penalty, to be assessed and collected in the same manner as penalties under subsection (g) of this section. Any change in property classification under this subsection shall not be entered on the grand list.
(13) “Homestead” means a homestead as defined under subdivision 5401(7) of this title and declared on or before July 15 in accordance with section 5410 of this title.
Sec. 13. LEGISLATIVE STUDY OF INCOME-BASED EDUCATION TAX
(a) There is created a legislative committee, to be known as the House Legislative Study Committee on Income-Based Education Property Tax for Vermonters. The committee shall analyze the current prebate and rebate system, including the renter rebate program, by which most Vermonters pay education property tax based on income, and propose a more understandable and efficient income-based system, taking into account taxpayer confidentiality. In analyzing and designing its proposals, the committee shall consider:
(C) qualifying income thresholds and possible inflation index;
(4) concerns with the amount of benefit available in the circumstance of a taxpayer with very high property tax and very low income, and methods to assure that a taxpayer in such circumstance does not receive an inappropriate benefit (as defined by the Study Committee) without creating a hardship for those in true need; ways to limit manipulation of “household income” eligibility, including income averaging; and balancing of the needs of individual taxpayers against the cost to other taxpayers;
(A) a bill sent by the town that identifies the education tax due based on income.
(B) a bill sent by the state that identifies the education tax due based on income.
(b) The committee shall include ten members as follows: six members of the House, not all from the same political party, appointed by the Speaker, three from the House Committee on Ways and Means, one from the House Committee on Appropriations, and two additional members of the House; one representative of the Department of Taxes; one representative of the Vermont League of Cities and Towns; one representative of the Vermont Municipal Clerks and Treasurers Association; and one representative of Vermont tax preparers.
(c) The committee shall meet no more than eight times and hold at least one public hearing. It shall report its findings and recommendations, including proposed legislation, by December 15, 2005, to the chairs of the House Committee on Ways and Means and the Senate Committee on Finance.
Sec. 21. 32 V.S.A. § 3412 is amended to read:
Before January 15 of each year, the director shall deliver to the speaker of the house of representatives and to the president pro tempore of the senate copies of an annual report including in that report all rules issued in the preceding year. The report shall include the rate per dollar and the amount of all taxes assessed in each and all of the towns, gores, school and fire districts and villages for and during the year ending with June 30, preceding, and the value of all exempt property on each grand list as required by subsection 4152(a) of this title. The report shall also include an analysis of the appraisal practices and methods employed through the state. The director shall include recommendations for statutory changes as he or she feels necessary. Copies of the annual report shall be forwarded to the chairman of the board of selectmen of each town. The presiding officer shall refer the report to the appropriate committees of the general assembly for their review and recommendation.
(14) Sec. 20 (repeal of special education limitation) shall take effect for fiscal years 2006 and after.
(15) Sec. 21 of this act (report of exempt property value) shall take effect January 1, 2007.
Sec. 23. 24 V.S.A. § 2804 is amended to read:
(b) If a reserve fund is established under subsection (a) of this section to pay a school district’s future school capital construction costs approved under chapter 123 of Title 16, any funds raised by the district as part of its education spending to pay for those future costs shall be considered “approved school capital construction spending” in calculating excess spending under 32 V.S.A. § 5401(12). Districts shall submit to the department of education annually a report of deposits into and expenditures from a school capital construction reserve fund. If the department of education determines that any amount in the reserve fund has not been used for approved school capital construction within five years after deposit into the fund, then 150 percent of that amount shall be added to the district’s education spending in the then-current year for purposes of calculating the excess spending penalty. The definitions in chapter 133 of Title 16 shall apply to this subsection.
Sec. 24. 32 V.S.A. § 5401(12) is amended to read:
Sec. 25. 32 V.S.A. § 6066(a)(1)(A), (B), and (D) are amended to read:
(1)(A) For a claimant with household income of $75,000.00 $85,000.00 or more:
(B) For a claimant with household income of less than $75,000.00 $85,000.00 but more than $47,000.00, the statewide education tax rate as adjusted under subdivision 5402(a)(2) this title, multiplied by the equalized value of the housesite, minus the applicable percentage of household income for the taxable year.
(D) A claimant whose household income does not exceed $75,000.00 $85,000.00 shall also be entitled to an additional adjustment amount under this section of $10.00 per acre, up to a maximum of five acres, for each additional acre of homestead property in excess of the two-acre housesite. The adjustment amount under this section shall be shown separately on the notice of property tax adjustment to the claimant.
Sec. 26. 32 V.S.A. § 6066(a)(1)(A), (B), and (D) are amended to read:
(1)(A) For a claimant with household income of $85,000.00 $90,000.00 or more:
(B) For a claimant with household income of less than $85,000.00 $90,000.00 but more than $47,000.00, the statewide education tax rate as adjusted under subdivision 5402(a)(2) this title, multiplied by the equalized value of the housesite, minus the applicable percentage of household income for the taxable year.
(D) A claimant whose household income does not exceed $85,000.00 $90,000.00 shall also be entitled to an additional adjustment amount under this section of $10.00 per acre, up to a maximum of five acres, for each additional acre of homestead property in excess of the two-acre housesite. The adjustment amount under this section shall be shown separately on the notice of property tax adjustment to the claimant.
Sec. 25 of this act (household income threshold and housesite maximum) shall apply to claims filed for 2006 property taxes and after. Sec. 26 of this act (household income threshold and housesite maximum) shall apply to claims filed for 2007 property taxes and after.
Sec. 28. 32 V.S.A. § 3802(11)(A) is amended to read:
(11)(A) Real and personal property to the extent of $10,000.00 of appraisal value, except any part used for business or rental, occupied as the established residence of and owned in fee simple by a veteran of any war or a veteran who has received an American Expeditionary Medal, his or her spouse, widow, widower or child, or jointly by any combination of them, if one or more of them are receiving disability compensation for at least 50 percent disability, death compensation, dependence and indemnity compensation, or pension for disability paid through any military department or the veterans administration if, before May 1 of each year, there is filed with the listers:
(ii) a written statement from the military department or the veterans administration showing that the compensation or pension is being paid. Only one exemption may be allowed on a property. Application for an exemption under this section based upon permanent disability is only required to be filed with the listers before May 1 of the first year for which the exemption is sought, and the exemption shall remain on the grand list until title to the property is transferred.