Buchanan County Commission Statement on the Homestead Tax Credit (Senate Bill 190)
The Commission has reviewed Senate Bill 190's language with assistance from the County Assessor, Collector, attorneys and professional organizations. Significant ambiguities exist as to who is eligible for the tax credit, how to calculate the credit, and to which property taxes the credit applies. Because of these issues the County has been advised that immediate implementation of the credit for 2023 taxes would cause unnecessary confusion and litigation.
The vast majority of property taxes collected by the County do not fund the County, but rather are collected on behalf of towns, school districts, fire districts, levy districts, libraries, and ambulance districts. The hasty implementation of this unclear tax credit could create significant financial strain for these services.
The Commission has been advised that the courts, legislature, and other authorities are likely to provide clarification of SB190 in the coming year. Given the need for further information the Commission has concluded it is in the best interest of the County's citizens, and the entities that serve them, to consider adoption of the tax credit in 2024.