Property tax assessed value increase limitations.

WORKING DRAFT
2008
STATE OF
WYOMING
08LSO-0395

HOUSE BILL
NO.
HB0162

Property tax assessed value increase limitations.

Sponsored by:
Representative(s) Simpson and Senator(s) Bebout

A BILL

for

AN ACT relating to
taxation and revenue; providing for a limit in the increase in assessed value of residential property; providing definitions; providing rulemaking authority;
and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.
W.S. 39
‑
13
‑
103(b) by creating a new paragraph (xvii) is amended to read:

39
‑
13
‑
103.

Imposition.

(b)

Basis of tax. The following shall apply:

(xvii)

Notwithstanding paragraph (ii) of this subsection, the assessed value of residential property shall not increase in any one (1) calendar year by more than the annual rate of inflation. However, the limitation in this subsection shall not apply to any residential property which is purchased, newly constructed or has
undergone a change of ownership
in the previous calendar year. Any residential property which is sold in an arms-length transaction shall be valued at the sales price.
The department of revenue shall promulgate rules, regulations and definitions necessary for the enforcement of the provisions of this paragraph.
As used in this paragraph:

(A)

"Annual rate of inflation"
means
the inflation
adjustment
as determined
each year
by the
legislature under W.S. 21
‑
13
‑
309(o)
;

(B)

"Newly constructed
"
shall not include:

(I)

The construction or addition of any active solar energy system;

(II)

The construction or installation of any fire sprinkler system, other fire extinguishing system, fire detection system or fire related egress improvement;

(III)

The construction, installation or modification of any portion or structural component of a single or multiple family dwelling for the purpose of making the dwelling more accessible to
a physically handicapped person
;

(IV)

An addition, alteration or remodel of a dwelling if the cost of the addition, alteration or remodel over a one (1) year period is less than
fifty
percent (
5
0%) of the value of the building.

(C
)

"Purchase" and "change in ownership" shall not include the purchase o
r
transfer of real property
from one spouse to another
after January 1, 200
9
, including, but not limited to:

(I)

Transfers to a trustee for the beneficial use of a spouse, or the surviving spouse of a deceased transferor, or by a trustee of such a trust to the spouse of the
settlor of the trust
;

(II)

Transfers to a spouse which take effect upon the death of a spouse;

(III)

Transfers to a spouse or former spouse in connection with a property settlement agreement or decree of dissolution of a marriage or legal separation;

(IV)

The creation, transfer or termination, solely between spouses, of any co-owner's interest;
and

(V)

The distribution of a legal entity's property to a spouse or former spouse in exchange for the interest of the spouse in the legal entity in connection with a property settlement agreement or a decree of dissolution
of marriage or legal separation.

Section 2
.

This act is effective January 1, 20
09
but only if the electors adopt a constitutional amendment
as proposed in 2008 House Joint Resolution HJ0008
prior to December 31, 200
8
authorizing
an additional class of property for assessment of taxes
.

(END)

1
HB0162