25B.7 - FUNDING PROPERTY TAX CREDITS AND EXEMPTIONS.
25B.7 FUNDING PROPERTY TAX CREDITS AND EXEMPTIONS.
1. Beginning with property taxes due and payable in the fiscal
year beginning July 1, 1998, the cost of providing a property tax
credit or property tax exemption which is enacted by the general
assembly on or after January 1, 1997, shall be fully funded by the
state. If a state appropriation made to fund a credit or exemption
which is enacted on or after January 1, 1997, is not sufficient to
fully fund the credit or exemption, the political subdivision shall
be required to extend to the taxpayer only that portion of the credit
or exemption estimated by the department of revenue to be funded by
the state appropriation. The department of revenue shall determine
by June 15 the estimated portion of the credit or exemption which
will be funded by the state appropriation.
2. The requirement for fully funding and the consequences of not
fully funding credits and exemptions under subsection 1 also apply to
all of the following:
a. Homestead tax credit pursuant to sections 425.1 through
425.15.
b. Low-income property tax credit and elderly and disabled
property tax credit pursuant to sections 425.16 through 425.40.
c. Military service property tax credit and exemption
pursuant to chapter 426A, to the extent of six dollars and ninety-two
cents per thousand dollars of assessed value of the exempt property.
Section History: Recent Form
97 Acts, ch 206, §4; 99 Acts, ch 180, §22, 24; 2003 Acts, ch 44,
§18; 2003 Acts, ch 145, §286