US Vote Smart
|Prop 1: Homestead exemption|
The constitutional amendment increasing the amount of the residence homestead exemption from ad valorem taxation for public school purposes from $15,000 to $25,000, providing for a reduction of the limitation on the total amount of ad valorem taxes that may be imposed for those purposes on the homestead of an elderly or disabled person to reflect the increased exemption amount, authorizing the legislature to prohibit a political subdivision that has adopted an optional residence homestead exemption from ad valorem taxation from reducing the amount of or repealing the exemption, and prohibiting the enactment of a law that imposes a transfer tax on a transaction that conveys fee simple title to real property.
This measure would increase the homestead exemption for school taxes from $15,000 to $25,000. The state would replace the revenues lost by the local school systems using state general revenues.
The proposed ballot measure passed the House 138-0 and the Senate 25-6.
Submitted by kenneth vaughn on 2015-10-06 02:49:38
The MCTP recommends voting in favor of Proposition 1. It will lower property taxes and increase the probability to eventually phase out property taxes altogether. This is of special interest to citizens of Montgomery County as this will partially offset the impacts of the rapid increase in assessed values of our homes.
Property taxes are especially onerous due to the fact that the only way a person can reduce their tax burden during hard times is to sell their house. Most other taxes automatically adjust based on the amount a person works or consumes. Property taxes also punish residents and favor tourists and visitors.
The rating of 96 indicates that the MCTP vetting committee is nearly unanimous in their strong support for this measure.
At its core, this proposition slightly reduces property taxes and replaces the lost local revenue from state coffers. Proponents of eliminating the property tax are in favor of this measure, whereas proponents of more state spending and/or eliminating the sales tax are against it.