HELP!!! I'm having Ballot Issues!

[true_notes]

Can someone Decipher this babble?

Tennessee Constitution Amendment #2
Shall Article II, Section 28 of the Constitution of the state of Tennessee be amended by inserting the following language immediately after the fourth paragraph:

By general law, the legislature may authorize the following program of tax relief:

(a) The legislative body of any county or municiapality may provide by resolution or ordinance that:

(1)Any taxpayer who is sixty-five years of age or older and who owns residential property as the taxpayer's principal place of residence shall pay taxes on such property in an amount not to exceed the maximum amount of tax on such property imposed at the time the ordinance or resolution is adopted;

(2) Any taxpayer who reaches the age of sixty five after the time the ordinance or resolution is adopted who owns residential property as the taxpayer's principal place of residence, shall thereafter pay taxes on such property in an amount not to exceed the maximum amount of tax on such property imposed in the tax year in which such taxpayer reaches age sixty five and;

(3) Any taxpayer who is sixty five years of age or older who purchases residential property as the taxpayer's prinicipal place of residence after the taxpayers sixty fifth birthday, shall pay taxes in an amount not to exceed the maximum amount of tax imposed on such property in the tax year in which such property is purchased.

Yes
or
No?

Your answers will be GREATLY Appreciated.

Thanks
TN

[cally]

1. Basically, it limits the amount of taxes anyone older thatn 65 pays

Their property taxes cannot be increased beyond what they pay now. That's a simplified version of what this is.

[true_notes]

2. Thanks a mil.

I appreciate that that.

[MADem]

3. It's what the GOP demon running for office in MA doesn't like

A law like that lets old people STAY IN THEIR HOMES. It's a cap on taxes for the elderly on fixed incomes. It's a good thing. It doesn't force Grandma to choose between paying the taxes or heating the house in winter.

The GOP assertion is that geezers are "OVERHOUSED" and they should be forced from the homes they made with their dead spouses and children, that are full of love, memories, and are the gathering place for important family holidays, so that they can be sold off to yuppies, and the state can rake higher taxes from the properties.

The GOP are circling buzzards, the Democrats think elders should live in dignity.

VOTE YES, dammit!!!

[Ravy]

4. I would vote NO.

I like the sentiment, but it is open to abuse.

It looks like if I buy a lot worth $20k, turn 65, build a house worth 3 million on it, I would have had my property tax frozen at the value imposed on the lot. In other words, there is no provision for reassessment after improvements are made. (unless that is found elsewhere).

As good of a deal as that seems, I realize *someone* has to pay taxes to keep things running. What I can escape from having to pay someone else will have to make up for (be it other property owners or my children and grandchildren paying the debt.)

[tkmorris]

5. Hmm, paragraph 3 sort of addresses that

But it is a bit ambiguous. It could easily be interpreted to mean that it only applies to residences bought entire after the age of 65, but not to improvements made on existing property as you suggest.

I think it's good legislation, but does need to be amended further to cover improvements to properties made after 65. Furthermore, to be done well, I think language should be inserted so that an inheriting spouse over age 65 cannot be hit with a tax increase on the property if for whatever reason their name wasn't on it originally.

[Lars39]

7. The lot would not qualify as the taxpayer's principal place of residence.

[Ravy]

8. Sure it could.

I could have my travel trailer parked on it... or let's say it had a shack on it which I will tear down after the assessment.

Also, I don't see a restriction on a single property here. What if I buy a house every year. It says I have to purchase it as my principle place of residence. It doesn't say it expires if I move to another residence after the purchase.

[Lars39]

9. In order to qualify as a principle place of residence it would have

to be a fixture to the land. The county assessor would probably have the final say-so.
The principle place of residence is verified,you can't get tax relief for more than one residence.

This constitutional amendment will only set the framework for the legislature to write the statutes that will administer the program.

[Ravy]

11. Hate to say it, but many, many American's primary place of residence

is not a permanent fixture to the land. Sad to say, but true.

And, it doesn't say anything about more than one residence in this amendment. It looks like you linked to an existing program that has that restriction, but not to what is being voted on. There was no indication that the restrictions placed on the current program would be placed on another.

Which begs the question.. since there is already a program in place to give money as relief to the people who really need it, why make this change? It doesn't look like a) it covers the disabled and b) doesn't limit the amount based on need.

[Lars39]

6. Here's the link for TN's Tax Relief Program:

http://www.comptroller.state.tn.us/pa/patxr.htm

TN has a reimbursement program, with the money going from the state to the counties,
relieving low-income elderly,disabled and disabled veterans from a portion of their property tax burden.
This amendment to the state's constitution could be laying the groundwork for Homestead Exemption,which means the elderly would be exempt from the amount of tax the legislature votes on.

Many states have a Homestead Exemption, but TN doesn't, because TN's Constitution doesn't allow it.

Many counties wanted to get in on the action and supplement the amount that the state pays and some are already doing this.
There is an Attorney General’s opinion that says it is illegal for the counties to supplement the state’s tax relief program.

So, this also may be an attempt to make it legal for a county (or municipality) to supplement the program no matter what.

The Comptroller of the Treasury administers the Tax Relief Program,with audits,of course.
The rate of abuse is small because each application is reviewed internally by state workers.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

[Lars39]

10. Here's the article from the Tennessean:

Catch that last paragraph...grr
http://www.gallatinnewsexaminer.com/apps/pbcs.dll/article?AID=/20061015/NEWS0206/610150354/1016