Bill Proposing Extension of Ohio Property Tax Homestead Exemption Eligibility

Senator Lou Gentile from Steubenville, Ohio, introduced SB 180 Tuesday morning which seeks extending eligibility for the homestead exemption to elderly or disabled homeowners who did not receive the exemption for 2013 and have $30,000 or more in Ohio adjusted gross income.

   Proposed provisions affect ORC Sections 323.151.152, .153, and 4503.064, .065, and .066 with respect to mobile & manufactured homes, including:

•The “total income” provision relating to Ohio adjusted gross income of the owner and the owner's spouse for the year preceding the year in which application for a reduction in taxes is made, as determined under division (A) of section 5747.01 of the Revised Code would be removed.

•Sec. 323.152(A)(2)… Real property taxes on a homestead owned and occupied, or a homestead in a housing cooperative occupied, by a person to whom division (A) of this section applies shall be reduced for each year for which an application for the reduction has been approved…

 (a) If the person received a reduction under division(A) of this section for a tax year, the greater of the reduction for that tax year or the amount computed under division (A) (2)(b), being product of the following:

(i) Twenty-five thousand dollars of true value of the property in money;

(ii) The assessment percentage established by the tax commissioner under division (B) of section 5715.01 of the Revised Code, not to exceed thirty-five per cent;

(iii) The effective tax rate used to calculate the taxes charged against the property for the current year, where "effective tax rate" is defined as in section 323.08 of the Revised Code;

(iv) The quantity equal to one minus the sum of the percentage reductions in taxes received by the property for the current tax year under section 319.302 of the Revised Code and division (B) of section 323.152 of the Revised Code.