This amendment requires the real estate collecting authority (counties) to waive penalties for any residential taxpayer for county and school property taxes who enters into and complies with a payment plan until the act sunsets (3 years) instead of being limited to the year after reassessment.

Plain English Breakdown

The official text states the State 'may' advance funds, meaning approval is not guaranteed even if requested.

Amendment on Property Tax Penalty Waivers and School Funding Advances

This amendment requires counties to waive property tax penalties for residential taxpayers in payment plans until the law ends in three years, instead of just one year after reassessment, and allows school districts facing cash shortages from these plans to request state funding advances.

What This Bill Does

• Requires counties to waive penalties on county and school property taxes for homeowners who join a payment plan.
• Extends the time period for penalty waivers until the law ends in three years instead of just one year after reassessment.
• Allows school districts that face cash flow shortfalls due to taxpayers being on payment plans to request an advance from State Division I funds.

Who It Names or Affects

• Residential homeowners who owe county and school property taxes
• County governments responsible for collecting real estate taxes
• School districts experiencing cash flow shortfalls due to taxpayers entering into payment plans

Terms To Know

Real Estate Collecting Authority

The county government office that collects property tax payments.

General Reassessment

A process where the value of all properties in an area is updated to determine new tax amounts, previously used as a limit for penalty waivers.

State Division I Funds

Money held by the state that may be advanced to school districts if they face cash flow shortfalls from payment plans.

Limits and Unknowns

• The law ends after three years, so it does not apply permanently.
• Penalty waivers only happen if taxpayers enter into and follow a payment plan.
• School districts must request the state advance; they do not receive money automatically.

Official Summary Text

This amendment requires the real estate collecting authority (counties) to waive penalties for any residential taxpayer for county and school property taxes who enters into and complies with a payment plan until the act sunsets (3 years) instead of being limited to the year after reassessment.
Additionally, this amendment allows any school district that suffers a cash flow shortfall of local school funds due to taxpayers in a school district entering into payment plans, to request an advance of State Division I funds.

Current Bill Text

Legislation Document

SPONSOR:

Rep. Dukes

HOUSE OF REPRESENTATIVES

153rd GENERAL ASSEMBLY

HOUSE AMENDMENT NO. 10

TO

HOUSE BILL NO. 241

AMEND House Bill No. 241 on lines 15, 25, and 28 by deleting the phrase “

In the first year following a general reassessment, the

” and inserting in lieu thereof the word “

The

”

FURTHER AMEND House Bill No. 241 by inserting the following after line 37:

“

(4) In the event of a cash flow shortfall of local school funds due to taxpayers in a school district entering payment plans under this subsection, the school district may request, and the State may advance, monies from State Division I funds.

”.

SYNOPSIS

This amendment requires the real estate collecting authority (counties) to waive penalties for any residential taxpayer for county and school property taxes who enters into and complies with a payment plan until the act sunsets (3 years) instead of being limited to the year after reassessment.

Additionally, this amendment allows any school district that suffers a cash flow shortfall of local school funds due to taxpayers in a school district entering into payment plans, to request an advance of State Division I funds.