legislative wrap-up 2019 property tax · 2019-06-29 · hb 1041/1174 – homestead credit for...
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Legislative Wrap-Up 2019 Property Tax
Ryan Rauschenberger, Tax CommissionerLinda Leadbetter, State Supervisor of Assessments
Joseph Becker, Auditor III, Research and Education
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SB 2331 – Wind Generation Allocation
• Amends N.D.C.C. 57-33.2-18• 33% of revenue deposited in State General Fund for wind
projects that:– Begin initial construction after December 31, 2020.– Have been in operation for twenty years or more from the date of first
assessment, whether initially taxed under 57-06-14.1 or 57-33.2-04.
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HB 1041/1174 – Homestead Credit for Specials/Income
• Amends N.D.C.C. 57-02-08.3• Adjusts maximum of $6000 by the consumer price index
January 1, each year• Interest reduced from 9% to 6% per year• HB 1174 provides that social security remains income as it is
considered for the homestead credit
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SB 2189 – Township & City Board of Equalization
• Amends N.D.C.C. 57-09-01 & 57-11-01• Township Board of Equalization• City Board of Equalization • Meet within the first 15 days of April• Addresses flexibility needed for those that share assessors
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SB 2278 & SB 2360 – Farm Residence Exemption
• Amend portions of N.D.C.C. 57-02-08(15)– Income information is a confidential record (2019 tax year)– Requires income verification on prescribed form (2020 tax year)– 66% of gross income from farming activities– Met during the two preceding calendar years
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SB 2360 / 2278 – Farm Residence Exemption
• Amendments to N.D.C.C. 57-02-08(15)(b)
– SB 2278 – Requires statement from applicant showingfarm income test is met
– SB 2360 – Streamlines farm income test andshortens test period
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This is a CONFIDENTIAL RECORD
• New simplified 2-page form
• Use for 2018 or 2019 income tax year
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This is a CONFIDENTIAL RECORD
• Former worksheet was optional tool
• New form is required from every applicant
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This is a CONFIDENTIAL RECORD
• New farm income test now based on established, familiar federal income tax method
• Uses gross income from farming definition under federal estimated income tax rules
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This is a CONFIDENTIAL RECORD
• Farm gross income must be 66% or more of total gross income for year
• Non-farm income test was repealed
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This is a CONFIDENTIAL RECORD
• Farm gross income must be 66% or more of total gross income for year
• Non-farm income test was repealed
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• Part 1 – Total farm and non-farm gross incomeMatches federal amount
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• Part 1 – Total farm and non-farm gross incomeMatches federal amount
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• Part 2 – Gross income from farmingMatches federal amount
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• Part 2 – Gross income from farmingMatches federal amount
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• Part 3 – Applicant’s signature
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• Part 3 – Applicant’s signature
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This is a CONFIDENTIAL RECORD
Questions?