Post on 11-Jan-2016
transcript
ADDITIONAL HOMESTEAD EXEMPTION FOR LOW
INCOME SENIORS
October 22, 2013
Additional Exemption for Low Income Seniors
• Background
• Recipients
• Administration
• Summary
• Board Direction
Additional Exemption for Low Income Seniors
• Background
• Recipients
• Administration
• Summary
• Board Direction
In the November 2012 general election, voters approved Amendment 11
It allows for an additional exemption when all of the following conditions are met:
• The owner must be age 65 years or older;
• The property must have a just (market) value of less than $250,000;
• The owner must have maintained permanent residence for at least 25 years;
• The owner’s annual household income must be less than $27,030 in 2013
Background
More on Amendment 11:• The exemption must be granted by ordinance
• The ordinance must be adopted and delivered to the Property Appraiser by December 1, to take effect on the following January 1
• The ordinance must be adopted by at least a majority plus 1 vote
• The requirements for the additionalexemption do not affect any of the exemptions already authorized
Background
Background
Original Save our Seniors Exemption:
• In 1998, voters approved the “Save Our Seniors” amendment to the Florida Constitution, allowing an exemption up to $25,000 for low-income senior citizens.
• The $25,000 “Save Our Seniors Homestead Exemption Ordinance” was enacted by the Orange County Board in 2000 beginning for tax year 2001.
Background
Second Exemption to the original Low-Income Seniors exemption:
• In 2006, voters approved an amendment increasing the exemption to $50,000
• The increase to $50,000was enacted by the Orange County Board for tax year 2007
Background
Millage Rate• The current homestead exemption for
Limited Income Seniors applies only to the countywide millage rate, currently 4.4347 mills.
Additional Exemption for Low Income Seniors
• Background
• Recipients
• Administration
• Summary
• Board Direction
Recipients
• Approximately 6,800 Recipients
• Current $50,000 Limited Income Senior exemption saves seniors approximately $1.3 million per year
• Currently as much as $400 million non-exempt taxable value are available from current Limited-income Seniors
• Assuming all current recipients qualify for the additional exemption, the cost to Orange County would be approximately $1.8 million
• Anticipated cost is estimated to be significantly less
Recipients / Fiscal Impact
Additional Exemption for Low Income Seniors
• Background
• Recipients
• Administration
• Summary
• Board Direction
Administration
Timing• A Taxpayer claiming the exemption must submit
to the Property Appraiser, no later than March 1, a sworn statement of household income on a form prescribed by the Department of Revenue
Administration
Auditing• The Property Appraiser is authorized to
generate random audits of the taxpayers’ sworn statements to ensure the accuracy of the reported household income
Administration
Annual Renewal• In1988, The Orange County Property Appraiser
requested and received approval from the Orange County Board of County Commissioners to waive the annual application requirement for exemption renewal.
• If approved, the Property Appraiser is requesting to extend the waiver of the annual application requirement,to include the additionalexemption for low-incomeseniors.
Additional Exemption for Low Income Seniors
• Background
• Recipients
• Administration
• Summary
• Board Direction
Summary
• Third additional limited income senior exemption
• The exemption must be granted by ordinance
• Adopted ordinance to Property Appraiser’s Office by December 1, 2013 for the tax year 2014
Additional Exemption for Low Income Seniors
• Background
• Recipients
• Administration
• Summary
• Board Direction
Board Direction
Board Options:• Delay to a future year
• Proceed with an ordinance and amend our Code to allow for:
– Added Exemption
– Waiver of annual application renewal requirement
ADDITIONAL HOMESTEAD EXEMPTION FOR LOW
INCOME SENIORS
October 22, 2013