Date Requested:February 02, 2012
Time Requested:04:09 PM
Agency: State Tax Department
CBD Number: Version: Bill Number: Resolution Number:
2012R1970 Introduced HJR110
CBD Subject: HOMESTEAD EXEMPTION AND SURVIVING SPOUSE
FUND(S)
General Revenue Fund, local governments
Sources of Revenue
General Fund,Other Fund local property tax revenu
Legislation creates:
Neither Program nor Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

    The stated purpose of this bill is to extend the homestead exemption to a surviving spouse who is under sixty-five years of age and not totally and permanently disabled, when property is owned by a husband and wife as joint tenants with right of survivorship and the spouse who qualifies for the exemption dies.
    
    This bill extends the Homestead Exemption to a surviving spouse who is under sixty-five years of age and not totally disabled after the death of the qualifying spouse as long as the surviving spouse occupies the property as his or her residence. The surviving spouse must refile for the Homestead Exemption with a copy of the death certificate. The revenue loss associated with the proposed change cannot be readily quantified. Roughly 30 percent of all owner-occupied homes in West Virginia qualify for the Homestead Exemption. This share will increase, especially for surviving spouses of permanently disabled Homestead Exemption recipients. Local property tax reductions may be partially offset by tax rate increases in a number of jurisdictions.
    
    Additional administrative costs to the State Tax Department or local governments cannot be determined.

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2012
Increase/Decrease
(use"-")
2013
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0
3. Explanation of above estimates (including long-range effect):
    This bill extends the Homestead Exemption to a surviving spouse who is under sixty-five years of age and not totally disabled after the death of the qualifying spouse as long as the surviving spouse occupies the property as his or her residence. The surviving spouse must refile for the Homestead Exemption with a copy of the death certificate. The revenue loss associated with the proposed change cannot be readily quantified. Roughly 30 percent of all owner-occupied homes in West Virginia qualify for the Homestead Exemption. This share will increase, especially for surviving spouses of permanently disabled Homestead Exemption recipients. Local property tax reductions may be partially offset by tax rate increases in a number of jurisdictions.
    
    Additional administrative costs to the State Tax Department or local governments cannot be determined.
    


Memorandum
Person submitting Fiscal Note:
Mark Muchow
Email Address:
kerri.r.petry@wv.gov