An Act To Provide Property Tax Relief
Maine Legislature, Session 123, LD 1972
Committee: Taxation
Sponsors: BAR TLETI
Amends: 36 MRSA §5219-B, 36 MRSA §6201

Legislative Document 
No. 1972 
S.P.766 
December 18, 2007 
An Act To Provide Property Tax Relief 
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule 
203. 
Received by the Secretary of the Senate on December 18, 2007. Referred to the Committee 
on Taxation pursuant to Joint Rule 308.2 and ordered printed. 
Presented by Senator BAR TLETI of Cumberland. 
JOY J. O'BRIEN 
Secretary of the Senate 
CospoflSored by Representative PINGREE of North Haven and Senators: President 
EDMONDS of Cumberland, MARRACHE of KeJ,Ulebec, MARTIN of Aroostook, MITCHELL 
ofKet1ftebec, PERRY of Penobscot, Representatives: BERRY of Bowdoinham, Speaker 
CUMMINGS of Portland, FAIRCLOTH of Bangor. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 36 MRSA §5219-BB is enacted to read: 
§5219-BB. Credit for property taxes paid on homestead 
Beginning with tax years beginning on or after January 1, 2008,,, taxpayer is allowed 
a refundable credit against the taxes imposed by this Part in an amount equal to 25% of 
the property taxes paid for that tax year on that taxpayer's homestead in this State, up to a 
maximum credit of $500 each year. For purposes of this section, "homestead" has the 
same meaning as in section 6201, subsection 5. 
Sec. 2. 36 MRSA §6201, sub-§10, as amended by PL 2007, c. 325, §1, is further 
amended to read: 
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10. 
Property taxes accrued. "Property taxes accrued" means property taxes 
exclusive of special assessment, delinquent interest and charges for service levied on a 
claimant's homestead in this State as of April 1, 1972, or any tax year thereafter. If a 
homestead is owned by 2 or more persons or entities as joint tenants or tenants in 
common, and one or more persons or entities are not members of the claimant's 
household, "property taxes accrued" is that part of property taxes levied on the homestead 
that reflects the ownership percentage of the claimant and the claimant's household. If a 
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claimant and spouse own their homestead for part of the year for which relief is requested 
and rent it or a different homestead for part of the same tax year, "property taxes accrued" 
means taxes levied on the homestead on April 1st, multiplied by the percentage of 12 
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months that the property was owned and occupied by the household as its homestead 
during the year for which relief is requested. When a household owns and occupies 2 or 
more different homesteads in this State in the same calendar year, property taxes accrued 
relate only to the total of the property taxes owed for the time that each property was 
occupied by the household as a homestead. To calculate the amount attributable to each 
property, the April 1 st assessment on each homestead is multiplied by the percentage of 
months that each property was owned and occupied by the claimant as the claimant's 
homestead during the year for which relief is requested. If a homestead is an integral part 
of a larger unit such as a fann, or a multipurpose or multidwelling building, property 
taxes accrued are that percentage of the total property taxes accrued that the value of the 
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homestead is of the total value, except that property taxes accrued do not include any 
portion of taxes claimed as a business expense for federal income tax purposes. For 
purposes of this chapter, "unit" refers to the parcel of property separately assessed of 
which the homestead is a part. "Property taxes accrued" does not include any amount 
claimed as a credit pursuant to section 5219-BB. 
SUMMARY 
This bill provides a refundable tax credit for 25% of the property tax paid on a 
person's primary residence, up to a maximum credit of $500 per year. If a person also 
applies for benefits under the Circuitbreaker Program, the amount of property taxes 
claimed under the Circuitbreaker Program must be reduced by the amount of the credit. 
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