MISSISSIPPI LEGISLATURE

2018 Regular Session

To: Ways and Means

By: Representatives Guice, Boyd, Brown, Currie, Eubanks, Haney, Hopkins, Tullos

House Bill 1386

AN ACT TO AMEND SECTION 27-33-75, MISSISSIPPI CODE OF 1972, TO AUTHORIZE COUNTY BOARDS OF SUPERVISORS AND MUNICIPAL GOVERNING AUTHORITIES TO GRANT AN ADDITIONAL HOMESTEAD EXEMPTION FOR QUALIFIED HOMEOWNERS WHO ARE SIXTY-FIVE YEARS OF AGE OR OLDER OR TOTALLY DISABLED FOR WHICH THE ASSESSED VALUE OF THE HOMESTEAD PROPERTY ON JANUARY 1, 2018, OR JANUARY 1 OF THE FIRST YEAR FOR WHICH THE QUALIFIED HOMEOWNER CLAIMS AN EXEMPTION ON THE PROPERTY, HAS INCREASED AS A RESULT OF A SUBSEQUENT UPDATE IN VALUATION OF THE HOMESTEAD PROPERTY THAT IS COMPLETED DURING THE TIME THE QUALIFIED HOMEOWNER OWNS THE PROPERTY; TO PROVIDE THAT THE EXEMPTION MAY BE GRANTED ON PART OR ALL OF THE AMOUNT OF THE INCREASE IN ASSESSED VALUE IN ANY MANNER AND FOR ANY AMOUNT DETERMINED BY THE BOARD OF SUPERVISORS OR MUNICIPAL GOVERNING AUTHORITIES; TO AMEND SECTIONS 27-33-77 AND 27-33-79, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT THE ADDITIONAL HOMESTEAD EXEMPTION AUTHORIZED UNDER THIS ACT SHALL NOT BE ELIGIBLE FOR REIMBURSEMENT FOR HOMESTEAD EXEMPTION AD VALOREM TAX LOSS; AND FOR RELATED PURPOSES. 

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 27-33-75, Mississippi Code of 1972, is amended as follows:

 * * *[With regard to any county that has not completed an update in the valuation of Class I property, as designated by Section 112, Mississippi Constitution of 1890, in the county according to procedures prescribed by the State Tax Commission and in effect on January 1, 2001, and has not implemented such valuations for the purposes of ad valorem taxation, this section shall read as follows:]

27‑33‑75.  (1)  Qualified homeowners described in subsection (1) of Section 27‑33‑67 shall be allowed an exemption from ad valorem taxes according to the following table:

ASSESSED VALUE          HOMESTEAD

 OF HOMESTEAD          EXEMPTION

 $  1 ‑ $ 150 $  6.00

  151 ‑   300   12.00

  301 ‑   450   18.00

  451 ‑   600   24.00

  601 ‑   750   30.00

  751 ‑   900   36.00

  901 ‑ 1,050   42.00

1,051 ‑ 1,200   48.00

1,201 ‑ 1,350   54.00

1,351 ‑ 1,500   60.00

1,501 ‑ 1,650   66.00

1,651 ‑ 1,800   72.00

1,801 ‑ 1,950   78.00

1,951 ‑ 2,100   84.00

2,101 ‑ 2,250   90.00

2,251 ‑ 2,400   96.00

2,401 ‑ 2,550 102.00

2,551 ‑ 2,700 108.00

2,701 ‑ 2,850 114.00

2,851 ‑ 3,000 120.00

3,001 ‑ 3,150 126.00

3,151 ‑ 3,300 132.00

3,301 ‑ 3,450 138.00

3,451 ‑ 3,600 144.00

3,601 ‑ 3,750 150.00

3,751 ‑ 3,900 156.00

3,901 ‑ 4,050 162.00

4,051 ‑ 4,200 168.00

4,201 ‑ 4,350 174.00

4,351 ‑ 4,500 180.00

4,501 ‑ 4,650 186.00

4,651 ‑ 4,800 192.00

4,801 ‑ 4,950 198.00

4,951 ‑ 5,100 204.00

5,101 ‑ 5,250 210.00

5,251 ‑ 5,400 216.00

5,401 ‑ 5,550 222.00

5,551 ‑ 5,700 228.00

5,701 ‑ 5,850 234.00

5,851 and above 240.00

Assessed values shall be rounded to the next whole dollar (Fifty Cents (50˘) rounded to the next highest dollar) for the purposes of the above table.

One‑half (1/2) of the exemption allowed in the above table shall be from taxes levied for school district purposes and  one‑half (1/2) shall be from taxes levied for county general fund purposes.

(2)  Qualified homeowners described in subsection (2) of Section 27‑33‑67 shall be allowed an exemption from all ad valorem taxes on not in excess of Six Thousand Dollars ($6,000.00) of the assessed value of the homestead property.

(3)  This section shall apply to exemptions claimed in the 1988 calendar year for which reimbursement is made in the 1989 calendar year and to exemptions claimed for which reimbursement is made in subsequent years.

[With regard to any county that has completed an update in the valuation of Class I property, as designated by Section 112, Mississippi Constitution of 1890, in the county according to procedures prescribed by the State Tax Commission and in effect on January 1, 2001, and for which the State Tax Commission has certified that such new valuations have been implemented for the purposes of ad valorem taxation, this section shall read as follows:]

     27-33-75.  (1)  Qualified homeowners described in subsection (1) of Section 27-33-67 shall be allowed an exemption from ad valorem taxes according to the following table:

     ASSESSED VALUE                                    HOMESTEAD

      OF HOMESTEAD                                     EXEMPTION

 $  1 - $ 150........................................... $  6.00

  151 -   300...........................................   12.00

  301 -   450...........................................   18.00

  451 -   600...........................................   24.00

  601 -   750...........................................   30.00

  751 -   900...........................................   36.00

  901 - 1,050...........................................   42.00

1,051 - 1,200...........................................   48.00

1,201 - 1,350...........................................   54.00

1,351 - 1,500...........................................   60.00

1,501 - 1,650...........................................   66.00

1,651 - 1,800...........................................   72.00

1,801 - 1,950...........................................   78.00

1,951 - 2,100...........................................   84.00

2,101 - 2,250...........................................   90.00

2,251 - 2,400...........................................   96.00

2,401 - 2,550........................................... 102.00

2,551 - 2,700........................................... 108.00

2,701 - 2,850........................................... 114.00

2,851 - 3,000........................................... 120.00

3,001 - 3,150........................................... 126.00

3,151 - 3,300........................................... 132.00

3,301 - 3,450........................................... 138.00

3,451 - 3,600........................................... 144.00

3,601 - 3,750........................................... 150.00

3,751 - 3,900........................................... 156.00

3,901 - 4,050........................................... 162.00

4,051 - 4,200........................................... 168.00

4,201 - 4,350........................................... 174.00

4,351 - 4,500........................................... 180.00

4,501 - 4,650........................................... 186.00

4,651 - 4,800........................................... 192.00

4,801 - 4,950........................................... 198.00

4,951 - 5,100........................................... 204.00

5,101 - 5,250........................................... 210.00

5,251 - 5,400........................................... 216.00

5,401 - 5,550........................................... 222.00

5,551 - 5,700........................................... 228.00

5,701 - 5,850........................................... 234.00

5,851 - 6,000........................................... 240.00

6,001 - 6,150........................................... 246.00

6,151 - 6,300........................................... 252.00

6,301 - 6,450........................................... 258.00

6,451 - 6,600........................................... 264.00

6,601 - 6,750........................................... 270.00

6,751 - 6,900........................................... 276.00

6,901 - 7,050........................................... 282.00

7,051 - 7,200........................................... 288.00

7,201 - 7,350........................................... 294.00

7,351 and above......................................... 300.00

     Assessed values shall be rounded to the next whole dollar (Fifty Cents (50˘) rounded to the next highest dollar) for the purposes of the above table.

     One-half (1/2) of the exemption allowed in the above table shall be from taxes levied for school district purposes and  one-half (1/2) shall be from taxes levied for county general fund purposes.

     (2)  (a)  Except as otherwise provided in this subsection, qualified homeowners described in subsection (2) of Section 27-33-67 shall be allowed an exemption from all ad valorem taxes on not in excess of Seven Thousand Five Hundred Dollars ($7,500.00) of the assessed value of the homestead property.

          (b)  From and after January 1, 2015, qualified homeowners described in subsection (2)(a) of Section 27-33-67 and unremarried surviving spouses of such homeowners shall be allowed an exemption from all ad valorem taxes on the assessed value of the homestead property.

          (c)  The board of supervisors of a county and/or governing authorities of a municipality may grant an additional exemption from ad valorem taxes for a qualified homeowner claiming an exemption under paragraph (a) of this subsection for which the assessed value of the homestead property on January 1, 2018, or January 1 of the first year for which the qualified homeowner claims an exemption for the homestead property under paragraph (a) of this subsection, has increased as a result of a subsequent update in valuation of the homestead property that is completed during the time the qualified homeowner owns the property.  The exemption may be granted on part or all of the amount of the increase in assessed value in any manner and for any amount determined by the board of supervisors or municipal governing authorities, as the case may be.  However, except for expansions of or additions to promote safety or access to the homestead property, the exemption authorized in this paragraph (c) shall not apply to any portion of increase in the assessed value of the homestead property that is attributable to expansions of or additions to the property during such time.  For the purposes of this paragraph (c), an update in valuation of the homestead property occurs when a county has completed an update in the valuation of Class I property, as designated by Section 112, Mississippi Constitution of 1890, in the county according to procedures prescribed by the Department of Revenue and in effect on January 1, 2018, and for which the Department of Revenue has certified that such new valuations have been implemented for the purposes of ad valorem taxation.  The exemption authorized under this paragraph (c) shall not be eligible for reimbursement under Section 27-33-77 or 27-33-79.

     (3)  Except as otherwise provided in this subsection, this section shall apply to exemptions claimed in the 2001 calendar year for which reimbursement is made in the 2002 calendar year and to exemptions claimed for which reimbursement is made in subsequent years.  The exemption provided for in subsection (2)(b) of this section shall apply to exemptions claimed in the 2015 calendar year for which reimbursement is made in the 2016 calendar year and to exemptions claimed for which reimbursement is made in subsequent years.  The exemption provided for in subsection (2)(c) of this section shall apply to exemptions claimed in the 2018 calendar year and to exemptions claimed in subsequent years.

     SECTION 2.  Section 27-33-77, Mississippi Code of 1972, is amended as follows:

     27-33-77.  Beginning with the 1985 supplemental roll, and for each succeeding year's roll thereafter, the amount of tax loss to be reimbursed because of exemptions provided for in this article shall be Fifty Dollars ($50.00) each for county taxes exempted and school taxes exempted for a total of One Hundred Dollars ($100.00) per applicant qualifying for homestead exemption under this article.

     The reimbursement received by the county shall be distributed by the county treasurer to the general fund.

     Provided further, that tax losses sustained by municipalities because of exemptions granted to homeowners described in subsection (2) of Section 27-33-67 shall be reimbursed up to the amount of the actual exemption allowed, not to exceed Two Hundred Dollars ($200.00) per qualified applicant.

     The reimbursement received by a county, municipality or school district may be pledged as security for a loan if the reimbursement to the county or school district is otherwise authorized or required by law to be pledged as security for such a loan.

     No reimbursement shall be made under this section for tax loss because of exemptions provided under Section 27-33-75(2)(c). 

     SECTION 3.  Section 27-33-79, Mississippi Code of 1972, is amended as follows:

     27-33-79.  Notwithstanding the limitation imposed on reimbursement of tax losses in Section 27-33-77, no taxing unit shall be reimbursed more than one hundred six percent (106%) or less than the amount of the reimbursement made to the same taxing unit, for the next preceding year, unless such reimbursement is reduced as a result of a reduction in approved homestead applicants; however, for the 1986 calendar year, no taxing unit shall be reimbursed less than the amount of the reimbursement made to the same taxing unit for the 1985 calendar year.  No reimbursement shall be made under this section for tax loss because of exemptions provided under Section 27-33-75(2)(c).

     SECTION 4.  Nothing in this act shall affect or defeat any claim, assessment, appeal, suit, right or cause of action for taxes due or accrued under the ad valorem tax laws before the date on which this act becomes effective, whether such claims, assessments, appeals, suits or actions have been begun before the date on which this act becomes effective or are begun thereafter; and the provisions of the ad valorem tax laws are expressly continued in full force, effect and operation for the purpose of the assessment, collection and enrollment of liens for any taxes due or accrued and the execution of any warrant under such laws before the date on which this act becomes effective, and for the imposition of any penalties, forfeitures or claims for failure to comply with such laws.

     SECTION 5.  This act shall take effect and be in force from and after January 1, 2018.